OFAC FAQ (Current) # 1076 - Cyber-related Sanctions (PDF contans all versions)

Date issued: Nov. 08 2022

Last substantive commentary amendment:
Aug. 19 2023

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TURBOFAC Commentary (1210 words)

Notes:

1) BACKGROUND

For background on the initial designation and redesignation of Tornado Cash, refer to Consolidated Comment on the Designation and Redesignation of Tornado Cash; Ensuing Litigation (System Ed. Note).

When the initial 8-8-22 designation notice was issued, Tornado Cash was widely regarded as having been the first software protocol designated on the SDN list by OFAC, raising certain compliance issues of first impression as well as arguments concerning the scope of IEEPA as it relates to OFAC ability to designate software on the SDN list. On 9-8-22, OFAC was sued over the Tornado Cash designation by a group of cryptocurrency users. On 9-13-22, OFAC issued four Tornado Cash-related FAQs (FAQ # 1076, FAQ # 1077, FAQ # 1078,