The Coin Center has sued the Office of Foreign Assets Control of the United States Treasury Department following the latter’s decision to impose sanctions on Tornado Cash.
Coin Center Sues OFAC
The prohibition on the use of Tornado Cash by the Office of Foreign Assets Control of the Treasury is the subject of a pending legal challenge.
Today, the Executive Director of Coin Center, Jerry Brito, announced on Twitter that the most influential cryptocurrency advocacy group had challenged OFAC’s power to sanction Tornado Cash’s smart contracts by filing a lawsuit in court.
“Not only are we fighting for privacy rights, but if this precedent is allowed to stand, OFAC could add entire protocols like Bitcoin or Ethereum to the sanctions list in future, thus immediately banning them without any public process whatsoever. This can’t go unchallenged,” Brito wrote.
Additionally, Brito stated that Coin Center would sue OFAC in the Supreme Court if it came to that.
In an article uploaded on the Coin Centre website, Brito and Peter Van Valkenburgh, the Research Director at Coin Center, provided additional information regarding the particulars of the legal action. They outlined the four primary claims that are being made in the lawsuit. It argues that the Treasury exceeded its statutory authority in issuing the sanction and that the Treasury’s regulations limit the ability to sanction the protocol. The argument is based on the fact that the Treasury went beyond its statutory authority in issuing the sanction. In addition, it asserts that the Treasury Department did not adequately consider the repercussions of the sanction and that it has since contradicted its own rules. Furthermore, it argues that citizens of the United States should be allowed the freedom to give privately to charitable organizations.
Coin Center is not the only plaintiff in this case; other plaintiffs include Bankless co-host David Hoffman, former Tornado Cash user Patrick O’Sullivan, and the operator of 688th Support Brigade, who wishes to remain unknown.
Coin Center expressed gratitude to Consovoy McCarthy and Abraham Sutherland in the post. McCarthy’s legal team will be representing the plaintiffs in this case.
The note came to a close with a resounding assertion that expressed confidence in the situation. It stated that “Privacy is usual” and that “Using Tornado Cash will be normal again when we win our lawsuit,” as the text of the notice read.
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