Kraken CEO Jesse Powell in a recent interview with Bloomberg At the time slammed the U.S. Treasury Department’s recent sanctions on Tornado Cash as “unconstitutional” and said there was “no need” to delete the project’s GitHub. The outspoken exchange boss said “people have a right to financial privacy” and he doesn’t think the sanctions will stand up to a legal challenge. He joined Uniswap inventor Hayden Adams and other digital currency advocates in condemning the sanctions. Nevertheless, Kraken complied despite Powell and other so-called “go Proponents of the “centralized” technology have publicly condemned the Tornado Cash sanctions, but they still complied and compiled it immediately. Kraken blocked Tornado Cash addresses and Uniswap blocked 250 addresses believed to be related to mixers as Dutch police raided and arrested its developers. There is more evidence that, despite their loud protests, industry leaders understand that code is not real law, and that failure to comply with sanctions imposed by the world’s most powerful government can generate Serious consequences. Powell defends disenfranchisement and financial privacy Financial privacy and freedom is digital currency Popular concept of the industry. So it’s no surprise that Powell raised these concepts when he publicly denounced the U.S. Treasury Department sanctions. Powell told Bloomberg that he and his advocates of unlimited freedom are “trying to educate regulators and law enforcement” about the benefits of digital currencies. “It’s a tough challenge right now. That’s why we’ve been having these conversations. We’re really trying to educate regulators, law enforcement and lawmakers about the real risks here, concerns about financial privacy There is real demand and who cryptocurrencies really serve,” he said. Regulators, law enforcement and lawmakers are unlikely to sympathize with Powell’s plea, given that the two largest users of Tornado Cash are said to be the North Korean government and a prominent human-trafficking ring. This highlights how the idealistic thinking in “Magic Crypto Land” is completely out of touch with reality. Powell also claimed that the digital currency industry is helping people in developing countries without access to financial services. “Besides this, this speculative use case in the US, it really helps people around the world who have difficulty accessing financial services. There are billions of people in the world who don’t have access to a bank account, so cryptocurrencies are first and foremost serve these people,” he noted. While the sentiment here is commendable, it’s not clear how most of these people living on less than $5.50 a day can afford to trade with exchanges like Kraken or broken blocks like BTC or Ethereum Fees associated with on-chain transactions. If Powell accepted Satoshi Nakamoto’s original electronic cash system, he might have a valid argument. Powell further showed his tone-deafness, claiming that “bypassing the government’s control of the monetary system is a secondary benefit, and you’ll see in situations like Canada where they’ve shut down protesters. Bank accounts. It’s the kind of scary thing we hope you don’t see in the U.S., but it’s another insurance policy that cryptocurrencies and bitcoin specifically offer.” Apparently, Powell hasn’t Realizing that the most powerful government in the world is not happy with a system that tries to circumvent its control, and in the coming age of regulation, such rhetoric does him and his business no favors. While there is no doubt that governments can and do sometimes overly control their controls, it is not wise to market your vision and product as one that helps circumvent those controls. All in all, Powell’s remarks are nothing but pie-in-the-sky idealism from clueless diehards with no ounce of common sense between them. While Powell’s touted vision appeals to a yearning for freedom in the human soul, the reality is that such a world, as Tornado Cash makes clear, would make authoritarian governments and human traffickers stronger. If such authoritarian governments and criminal entities become more powerful without restrictions, it is unclear how any degree of freedom will survive. So Powell’s argument fails logically. Bitcoin is designed to work within the rule of law, And helping the poorest people in the world The chaos created by the touted bullshit advocates in the “crypto” industry is just a transitional phase, one that is being Corrected errors. This madness was never intentional, and Bitcoin was never designed to facilitate it. As Satoshi Nakamoto has repeatedly explained, Bitcoin is the antithesis of anarchists’ dream currency, leading to a more honest, fully traceable system. This may not have anything to do with Jesse Powell and his ilk, but it’s still true and for the best. Bitcoin will bring about a situation where developing countries, which Powell claims to represent, will have a real opportunity to conduct global transactions with almost zero fees. These are the “small, casual transactions” that Satoshi Nakamoto wrote about in his white paper and repeatedly referred to in his emails and forum posts. These transactions will be fully traceable, leading to a world diametrically opposed to that created by money laundering tools like Tornado Cash. Don’t get in trouble, Powell’s idealism won’t save you As silk A hard lesson from Road boss Ross Ulbricht, you don’t actually have to be a local criminal to end up in serious trouble – facilitating them is enough to have life-changing consequences. It’s time for everyone involved in the industry, developers and users, to wake up and realize how serious this is and how much trouble it will cause them. As the Tornado Cash developers also learned the hard way, ideals like financial privacy and decentralization don’t help when doors are banging on. Follow CoinGeek’s Crypto Crime Carter Er
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