TORN Token Rally 60% As US Treasury Drops Sanctions on Tornado Cash

The US Treasury Division formally clarified that the Twister Money crypto mixing service is not on the Specifically Designated Nationals (SDN) listing. The transfer comes after a federal court docket in late 2024 handed a verdict that the immutable good contracts on the protocol couldn’t be considered “property” underneath the anti-sanctions regulation. The transfer prompted a fast 50% surge within the worth of the TORN token shortly after the announcement.

Twister Money Sanctions Lifted by U.S.; TORN Token Jumps Over 60% in Minutes

The U.S. Treasury Division has delisted Twister Money at the moment. The change was mirrored within the up to date Specifically Designated Nationals (SDN) listing maintained by the Workplace of Overseas Belongings Management (OFAC). Ethereum addresses linked to Twister Money had been additionally delisted.

This determination got here following a call made in November 2024 by the U.S. Courtroom of Appeals for the Fifth Circuit. The court docket affirmed that good contracts utilized by Twister Money weren’t thought of to be property underneath the Worldwide Emergency Financial Powers Act. Because of this, the Treasury not had the authority to sanction these contracts.

Following the announcement, the TORN token noticed a dramatic worth rise. It surged over 50% inside minutes, with elevated buying and selling exercise on main exchanges. Moreover, the 24-hour buying and selling quantity spiked by 950% to $1.79 million. Market analysts attributed the spike to renewed confidence within the protocol’s authorized standing.

Authorized Scope of Good Contracts

In November 2024, the Fifth Circuit Courtroom dominated towards OFAC’s designation of Twister Money’s good contracts. The court docket clarified that immutable, self-executing code doesn’t qualify as property. This authorized distinction was central to the delisting.

OFAC initially sanctioned Twister Money in August 2022. The company cited its use in laundering over $7 billion in crypto belongings. Nevertheless, the current court docket ruling restricted the attain of sanctions underneath present U.S. regulation.

The Treasury Division responded by starting the delisting course of on March 18, 2025. The replace turned official three days later.

Earlier this month, Coinbase’s Chief Authorized Officer, Paul Grewal, criticized the U.S. Treasury for partially defying a court docket ruling that invalidated sanctions on Twister Money. Grewal and different trade leaders condemned the transfer, arguing that it undermined congressional oversight.

Builders Nonetheless Face Costs

Though the protocol is not sanctioned, authorized proceedings towards its builders proceed. Roman Storm, one of many co-founders of Twister Money, faces trial in July 2025. He was charged with cash laundering and sanctions violations in August 2023.

Roman Semenov, one other co-founder, stays on the SDN listing. Nevertheless, the cyber-related tag has been eliminated. He’s nonetheless designated underneath North Korea-related sanctions. Lazarus Group, which is a North Korean cybercrime group, is accused of utilizing Twister Money in a number of crypto thefts. A few of them embody $455 million from the Ronin Bridge hack, $96 million from the Concord Bridge theft, in addition to $7.8 million from the Nomad exploit.

Not too long ago, the Ethereum Foundation contributed $1.25 million for Alexey Pertsev’s protection stating that open-source and privateness initiatives needs to be defended.