OKX chief working officer Star Xu warned account holders towards Twister Money (TORN), saying any interplay with the platform would lead to a ban.
In a press release posted on X, the CEO introduced that any customers who’ve been beforehand sanctioned is not going to be allowed to open new accounts on OKX. Furthermore, per the assertion, the crypto change will shut down accounts of customers making deposits from sanctioned entities similar to Twister Money (TORN) and Garantex.
OKX seems to be implementing these measures to adjust to world legal guidelines, limiting crypto mixers’ use. Entities similar to Twister Money have been within the cross hairs of regulators throughout the globe, who declare that crypto mixers are generally used to transact illicit funds and are the favored instruments of worldwide legal networks, along with rogue states similar to North Korea who’ve additionally been discovered to have used such providers.
With respect to Twister money and the OKX hack, the crypto change is making an attempt to regain customers’ belief following a collection of safety vulnerabilities that brought about them to lose funds in June.
In line with a crypto.information report, two OKX customers skilled substantial monetary losses in a suspected SIM-swapping assault.
Blockchain safety agency Slowmist suspected the incident originated from a flaw within the change’s two-factor authentication (2FA) system, which led to unauthorized entry to their accounts.
The safety incidents have shaken confidence in OKX. The crypto change is now making an attempt to regain the neighborhood’s belief by following world regulatory legal guidelines.
Earlier this 12 months, the US Home of Representatives proposed a invoice, dubbed the Blockchain Integrity Act, to ban crypto mixers for 2 years. The invoice, launched by Democratic Occasion member U.S. consultant Sean Casten, goals to prohibit digital asset service suppliers and different registered cash service companies from accepting funds routed by means of a mixer or permitting withdrawals on to a mixer’s tackle. Any breach of this rule will incur a civil penalty of as much as $100,000.
The Home’s sentiment about Twister Money was additionally echoed by the European Union, which voted in April to power the monitoring of non-custodial wallets whereas banning crypto mixers and privateness cash.
With the regulatory headwinds pointing in direction of a decision—if not outright ban—on crypto mixers, entities similar to Twister Money and exchanges that enable their tokens to be traded and listed could quickly be listed throughout the echelons of black market crypto.