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Breaking: Is DeFi In Trouble? Aave Blocking All Addresses Linked To Tornado Cash

The DeFi has faced a setback after the U.S. Treasury Department’s Office of Foreign Assets Control (OFAC) sanctioned crypto mixer Tornado Cash. Several Twitter users today revealed that DeFi lending giant Aave is also blocking addresses linked to Tornado Cash.

Well-known ENS addresses have reportedly received 0.1 ETH from sanctioned addresses. In response, DeFi platforms including Uniswap, Aave, and Balancer have blocked accounts that received funds from Tornado Cash.

Aave Blocks Addresses Receiving Funds from Tornado Cash

Wallet addresses of prominent users including Tron’s founder Justin Sun, Sassal0x, and Shixing Mao, co-founder of Cobo crypto custodian are blocked by Aave.

According to PeckShieldAlert, over 600 addresses have received 0.1 ETH from Tornado Cash 0.1 ETH contract, these include personalities and centralized exchanges.

People believe “decentralization in DeFi” is in trouble as DeFi platforms including Aave, Uniswap, Balancer, dYdX, Alchemy, and Infura blocked addresses. In fact, platforms like Discord and Github have also removed services related to the crypto mixer.

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 13.08.2022

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