DeFi Exchange dYdX Blocking Accounts Related To Tornado Cash!

DeFi exchange dYdX is blocking accounts related to Tornado Cash! Recently, dYdX posted its action about crypto mixer Tornado Cash on Twitter.

What Happened

Previously, the topic of Tornado Cash has been trending in the community. Not too long ago, The US Treasury sanctioned and ‘blacklisted’ the crypto mixer for its involvement in money laundering. Americans are also not allowed to make any interaction with Tornado Cash. 

However, this decision raised some critiques in the community. They stated Tornado Cash is just a tool, and people had used it to keep data and information private. 

Related: U.S Blacklists Crypto Mixer Tornado Cash, Here’s Why!

dYxY Blocks Some Accounts

On August 10th, dYdX took to Twitter to post information regarding Tornado Cash. In the tweet, dYdX also attached a blog post to inform users in more detail.

The Defi exchange stated, “Many accounts [were] blocked because a certain portion of the wallet’s funds (in many cases, even immaterial amounts) [were] associated at some time with Tornado Cash.”

However, the block also affected some accounts without direct engagements with the crypto mixer. According to dYdX, some users do not even realize the origin of the funds they received.

dYdX mentioned, “This sudden influx of flags affected many account holders that never directly engaged with Tornado Cash, and often such users do not realize the origin of the funds transferred to them.”

They also added the information that they have made adjustments and unblocked certain accounts as they will continue to monitor this matter. dYdX closed the announcement by stating users are free to contact them if their accounts are mistakenly blocked.

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