Tornado Cash is a decentralized privacy protocol built on the Ethereum platform. It enables users to break on-chain links, offering cutting-edge financial privacy.
Unlike centralized mixers, Tornado Cash uses smart contracts that function autonomously, ensuring that users retain sole ownership of their funds at all times. This autonomous framework brings transparency and removes any central point of failure or censorship.
The core of Tornado Cash lies in privacy-preserving proofs, which let users prove without disclosing specific deposit information. This ensures unlinkability between the deposit and the withdrawal.
Due to its anonymous structure, Tornado.cash quickly attracted users by those seeking on-chain anonymity. It’s used for protecting wallet privacy, among other legitimate needs.
However, this tool has also come under fire from law enforcement agencies. In 2022, the U.S. Treasury’s OFAC sanctioned the use of Tornado.cash, citing its misuse for illegal transfers. Still, the protocol remains functional since its smart contracts are immutable and cannot be taken offline.
Defenders believe that Tornado Cash is a permissionless tornado.cash system, much like the internet itself — and that code should remain free, even if some actors misuse them.
Use cases for Tornado Cash include:
Avoiding surveillance on major transfers
Sending donations safely
Using Ethereum without exposing history
As governments around the world push for more monitoring, the demand for tools like Tornado.cash continues to increase steadily. The future of digital asset privacy hinges on whether transparent code will be protected or suppressed.
Whether you're a privacy advocate or just someone looking to keep your activity private, Tornado.cash remains a powerful tool in the world of on-chain confidentiality.