- On June 1, ZkSnack will discontinue its Coinjoin service, in an effort to placate US authorities who are cracking down on privacy technology based on blockchain.
As American regulators and authorities tighten down on coin mixers and other tools that mask cryptocurrency transactions, the wallet maker is pulling support for transaction privacy service Coinjoin in response to growing pressure from law enforcement.
The co-founders of Samurai Wallet, which is likewise limited to coinjoin, were detained by the police not long before the shutdown.
The origins and destinations of cryptocurrency transactions are obscured by so-called coin mixers, making it challenging for international authorities to identify black money laundering. Coinjoin uses technology in a similar way to traditional mixing services, although marketing its products as being far more sophisticated and unique than currency mixers.
Along with other steps the project has taken to reduce its legal responsibilities domestically, ZkSNACKs has closed its transaction tool with an emphasis on privacy. ZkSNACKs restricted residents and nationals of the United States from accessing its Wasabi Wallet last week.
Growing concerns about authorities’ animosity against certain Bitcoin services in the U.S. are highlighted by cryptocurrency firms ceasing to offer legally dubious items in the country.
Roman Storm, the creator of Tornado Cash, was detained by US law authorities last year on allegations of wire fraud conspiracy and money laundering pertaining to his platform’s token mixing services.
Disclaimer : This article was created for informational purposes only and should not be taken as investment advice. An asset’s past performance does not predict its future returns. Before making an investment, please conduct your own research, as digital assets like cryptocurrencies are highly risky and volatile financial instruments.
