Coinbase and six individuals have filed a motion for a partial summary judgment in a Texas District Court, seeking to overturn the decision to sanction Tornado Cash, a crypto mixer. The motion aims to have the US Office of Foreign Asset Control settle for the first two counts from its original complaint filed in September 2022. The first count claimed OFAC exceeded its statutory powers under the International Emergency Economic Powers Act, while the second claimed OFAC violated the free speech clause of the US Constitution’s First Amendment.
The plaintiffs argued that smart contracts providing the functionality to Tornado Cash cannot be owned, and therefore, the ban on the open-source code violates the First Amendment. The legal battle is part of a broader effort to restore internet privacy rights for US citizens.
