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TC isn't a crypto, it's a centralised service which offers moving crypto assets across various accounts and networks to obfuscate / hide the flow of money. Everything else in your post is equally incorrect and dumb. A crypto network is pretty much impossible to shut down, because it's designed to be decentralised and to operate even if some nodes are taken over or destroyed by the government. A centralised exchange or service like TC can be taken down because it's not a network where each node has a copy of the data. Also NTFs have nothing to do with crypto networks, and NTF exchanges are again just some centralised entities that can be taken down overnight.
There are also crypto networks designed to make it impossible to trace the flow of money between accounts, and those don't need services like TC.
Also, you clearly don't have a clue how crypto works beyond some "magical internet money", so either do some proper research or stay the fuck away. -
As fas as I understand TC it was in it self mot distributed but rather centralized.
You transferred money to TC in one of more installments and a separate list if those payments and which targets you wanted them forwarded to.
Once TC had enough different payments they transferred the money but kept no record of who sent what money.
But in most countries there are laws fir any financial entity that they MUST trace money transfers and sources to prevent money laundering.
Since TC handled a service for others a I assume they counted as a financial service and was then required to follow the law which they did not.
And since it was managed by one or a small number of people that apparently did not hide their identities good enough they could then be arrested and the services shut down.
If the law requires you to do something and you choose to not do it, even if its “because of technical reasons” your still breaking the law.
If what you do cannot be done without breaking the law you can either choose to not do it or risk getting arrested.
Web3 is only a hype word and does not shield you from normal laws. -
> [...] how come the government can that easily shutdown any crypto [...] if they want to?
> What exactly is "decentralised" here...?
Decentralised was only the money and parts of the implementation, as others pointed out.
Therefore "the government" can just go with a real world warrant to the real world people. As the US set TC on its sanction list (the one with Russian oligarchs, war criminals and so on), close to zero businesses want to continue their business relationship with TC, especially not US businesses like Discord.
> TC was not made for money laundering, [...] the Users [sic] are the ones who determined its fate.
There's a reason why know-your-customer (KYC) checks are required for financial institutions. "Ownership obligates." Even OnlyFans learned that and had to implement better checks against illegal content.
> This means the government is able to shut down [...] any [...] crypto.
No, but real world entities using it -
@sbiewald and they all want to have control over financial transactions to prevent tax evasion and crimes (at least until they get their share).
So mixers will have to walk a tight rope, they could base them self in a country with few cooperations with other governments and then avoid local customers and that way stay out of reach, or bribe enough people to loom the other way.
But they will run afoul most countries laws.
Today Tornado Cash (TC) discord deleted, website deleted, devs got arrested.
Heres my question: although i believe TC didnt have any bad intentions in context of to help people launder money, how come the government can that easily shut down ANY crypto/nft if they really want to?
What exactly is "decentralized" here...?
TC was not made for money laundering, just like onlyfans wasnt made to be pornographic website - the Users are the ones who determined its fate.
If TC had a way to block illegal transactions, then that would be a web2 company and not web3.
And now when TC doesnt block illegal transactions in order to remain "decentralized" and "anonymous", they got arrested and their system got shut down. Ironically, so much for "anonymity" and "decentralization"...
This means the government is able to shut down absolutely any and every crypto, including BTC if they really wanted to. The question now remains is: why are they letting it roll and not shut down the whole of crypto?
What if crypto was a part of the governments plan for a future financial world where they can control, freeze, block or shut down our finances with a click of a button just as easily as they arrested TC founders today?
rant