Paul Grewal, Legal Director of Crypto Exchange Coinbase (Coin), criticized the recent file of the US Treasury which aims to resolve the need for a final judgment of the Tornado Cash after having canceled the crypto mixer on the list of sanctions.
On Friday, the dog watching dog from the Treasury Department deleted the treasury from its global black list while deleting more than 100 Ether addresses (ETH) from the list of specially designated nationals. The platform was supported in 2022 for its alleged role in the laundering of $ 445 million stolen by the Lazarus cybercrime group linked to North Korea.
The treasure then argued that the action of the implementation of the Tornado in cash resolved the question to be accomplished and that a final court decision ordered him to remove the cryptographic mixer from his list of sanctions was no longer necessary, according to a file filed dated March 21.
Grewal, however, said that the Treasury’s attempts to have the OOT case declared is an attempt to bypass a decision of the fifth Circuit Court of Appeals which will leave the door open for a blacklist and renewed sanctions.
“After having reluctantly struck the TC, they now claim that they have targeted a need for final judgment. But it is not the law, and they know it,” said Grewal on X. “Under the exception of voluntary cessation, the decision of a defendant to end a disputed practice on a case only if the defendant can only show the practice cannot be rejoiced.” “” “” “
Coinbase funded the judicial case which made its way before the court of appeal, Van Loon against Treasury.
Grewal cited the example of the FBI c. Fikre, in which the government withdrew Yonas Fikre, an emigrant American and Sudanese citizen from the list of non-hits, and supported in court that this action made the trial of Fikre. Fikre had brought a legal action alleging that the government had illegally placed it on the list of non-hits.
However, the ninth circuit overturned this decision saying that the party seeking to determine a case based on its own voluntary conduct of conduct contested must show that driving cannot “reasonably expect it to be”.
In the case of Tornado Cash, the Treasury has not assured any assurance that it does not re-cancel the cryptographic mixer.
“Here, the Treasury has also removed the Tornado Torada Torado entities, but has not assured that it will no longer reflux in the tornado.
