Crypto Mixer Tornado Cash Loses Lawsuit Over US Sanctions (1)

A federal judge denied a motion supported by crypto market participants including Coinbase Global Inc. which argued that the US Treasury Department exceeded its authority when sanctioning the coin mixing service Tornado Cash.

A year ago, Treasury’s Office of Foreign Assets Control (OFAC) accused Tornado Cash, a service that made it harder to trace digital-asset tokens, of laundering more than $7 billion of cryptocurrencies since its creation in 2019. The agency sanctioned crypto wallets associated with Tornado Cash, as well as related code known as smart contracts.

Judge Robert Pitman of the US District Court for the Western District ...