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A comment on U.S. Treasury sanctions virtual currency mixer Tornado Cash. Parent comment

Re:U.S. Treasury sanctions virtual currency mixer Tornado Cash by matkoniecz on Monday August 08, 2022 @06:47PM (#32392081)
> they can’t(?) blacklist people from using the tokens that come out the other end.

why not?

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Re:U.S. Treasury sanctions virtual currency mixer Tornado Cash by bergenty on Monday August 08, 2022 @10:29PM (#32393637)
Because defi exchanges are also smart contracts. Unless you have an automated system that watches all tokens coming out of tornado and then immediately modifies the the exchange smart contracts to blacklist them it’s not feasible.
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Re:U.S. Treasury sanctions virtual currency mixer Tornado Cash by matkoniecz on Tuesday August 09, 2022 @02:25AM (#32394815)
If exchange cant block such transfers, then it is possible that exchanges cannot operate legally.

Maybe locking account of user who use it will be sufficient.

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Re:U.S. Treasury sanctions virtual currency mixer Tornado Cash by vintermann on Tuesday August 09, 2022 @09:06AM (#32397258)
I'm sure the smart contact language is powerful enough to specify that tokens from Tornado Cash will not be handled. You talk about it in terms of self-modifying code but that should not be necessary.

That tokens from "something like" Tornado should not be handled, though, seems like it would be harder to specify.

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