Brian Armstrong (CEO and Co-Founder of Coinbase) recently announced litigation funding of a new lawsuit that questions the integrity of the United States Treasury’s sanctions of Tornado Cash privacy software. Coinbase’s litigation investment aims to vindicate six individuals who were added to the United States’ sanctions list as part of banning Tornado Cash.
An LFJ Conversation with Michael Kelley, Partner, Parker Poe
Brian Armstrong (CEO and Co-Founder of Coinbase) recently announced litigation funding of a new lawsuit that questions the integrity of the United States Treasury’s sanctions of Tornado Cash privacy software. Coinbase’s litigation investment aims to vindicate six individuals who were added to the United States’ sanctions list as part of banning Tornado Cash.
According to Coinbase’s blog, Tornado Cash’s open source software design offers a valuable personal privacy protection utility. Coinbase claims that Treasury may have overreacted by sanctioning the entire Tornado Cash software program protocol technology.
Coinbase suggests that law-abiding citizens have a right to privacy, and that congress has not entitled the Treasury to sanction open source software. Coinbase also is concerned that Federal sanctions on open source software may preclude future software innovation.
Coinbase’s hope is that the Treasury will reverse the personal sanctions attributed to the six individuals who are the subject of the claim. Additionally, Coinbase hopes to signal the firm’s approach to protecting personal privacy and pure cryptocurrency innovation.
