Crypto firms say US sanctions limit use of privacy software

By FATIMA HUSSEIN
Associated Press

WASHINGTON (AP) — The Treasury Department faces pushback from the cryptocurrency industry over sanctions imposed on a virtual currency mixing firm. The firm is accused of helping launder billions of dollars — with some funds going to North Korean hackers. Earlier this month, the Treasury Department imposed sanctions on the firm, Tornado Cash, which allegedly helped to launder more than $7 billion worth of virtual currency since its creation in 2019. Mixing services combine various digital assets, including potentially illegally obtained funds and legitimately obtained funds, to keep origins of the funds secret. Advocates say the sanctions open the door to limiting usage of privacy software.