Suspected Tornado Cash developer arrested in Amsterdam

Dutch authorities arrested a developer suspected of involvement in Tornado Cash on Wednesday, two days after the US government sanctioned the crypto mixing service, according to a statement today from the Dutch Fiscal Information and Investigation Service (FIOD). 

The FIOD arrested an unidentified 29-year-old man in Amsterdam, according to the statement. He is suspected of involvement in concealing criminal financial flows and facilitating money laundering through the mixing service Tornado Cash, which allows users to obscure blockchain-based transactions.  

«These advanced technologies, such as decentralised organisations that may facilitate money laundering are receiving extra attention from the FIOD,» the agency said, adding that it may make further arrests. 

The US Treasury added Tornado Cash and 44 associated Ethereum and USDC wallets to its Specially Designated Nationals list, according to an August 8 announcement from the Treasury’s Office of Foreign Asset Control. The wallets identified included the smart contract that runs Tornado Cash and the Tornado Cash donation wallet.

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