In August, the US Department of the Treasury’s Office of Foreign Assets Control (OFAC) sanctioned virtual currency mixer Tornado Cash for laundering “the proceeds of cybercrime”. And now, US residents can recover any funds they have locked up in Tornado Cash.
The department answered some pressing questions about the implications of its sanctions by an update to the “frequently asked questions” portion of its website.
OFAC will make it possible for Tornado Cash users to legally withdraw funds from the now-blacklisted platform.
According to the FAQs, individuals who deposited funds into Tornado Cash prior to August 8 (the date the Treasury prohibited American citizens from interacting with the tool) could apply for an OFAC license to “engage in transactions involving the subject virtual currency.”
Also Read: Why did U.S. OFAC Sanction Tornado Cash?
“U.S. persons should be prepared to provide, at a minimum, all relevant information regarding these transactions with Tornado Cash, including the wallet addresses for the remitter and beneficiary, transaction hashes, the date and time of the transaction(s), as well as the amount(s) of virtual currency.”
Recently, Coinbase was discovered to be funding a lawsuit against the Treasury Department regarding its decision to sanction coin mixer Tornado Cash.
