TORNADO CASH AND THE LIMITS OF MONEY TRANSMISSION (1 HOUR READ)

Summary from the TLDR Crypto newsletter

This article challenges the DOJ's attempt to classify Tornado Cash as an unlicensed money transmitting business under 18 U.S.C. § 1960, arguing that the statute's broad interpretation contradicts Supreme Court precedent and FinCEN guidance, which emphasize "control" as a key factor in money transmission. By applying Section 1960 to Tornado Cash's non-custodial, decentralized smart contracts, the DOJ risks prosecutorial overreach, potentially stifling innovation and privacy tools in blockchain technology.