Did government crack down on tornado Cash co-founders?

WASHINGTON (AP) — U.S. government officials on Wednesday started cracking down on the co-founders of the virtual currency mixer Tornado Cash, just days after a federal judge decided that the government had the authority to sanction them.

Is tornado cash a scam?

Tornado Cash is one of the largest crypto blenders identified as problematic by the U.S. Treasury. The Dutch public prosecutor’s office for serious fraud, environmental crime and asset confiscation (FIOD) said Tornado was suspected of having laundered more than $7 billion worth of virtual currency since it was created in 2019.

Who is storm & how did he get arrested?

Storm was arrested Wednesday by federal officials. Tornado Cash and other mixing services combine various digital assets, including potentially illegally obtained funds with legitimately obtained funds, so that illegal actors can obscure the origin of the stolen funds.

Was tornado Cash co-founder Roman storm charged with money laundering?

Also Wednesday, the Justice Department unsealed an indictment charging Semenov and Tornado Cash co-founder Roman Storm with conspiracy to commit money laundering, operating an unlicensed money transmitting business and other crimes. Storm was arrested Wednesday by federal officials.