Others will take the place of Tornado Cash cryptocurrency mixer — experts' forecast

Chainalysis researcher Jacon Illum and the firm’s regional manager Todd Lanfield analyzed the US government’s sanctions policy against cryptocurrency mixer Tornado Cash. Experts believe that the banned service will be replaced by others. Chainalisys assured that there is a «hole» in the cryptocurrency industry that needs to be filled, so lesser-known projects will compete for the same level of popularity as Tornado Cash.

Illum noted that society has become more cautious about cryptocurrencies and has not yet realized how to interact with other cryptocurrency mixers. Crypto users, as well as developers in the industry, fear that US sanctions may affect them. However, over the past month, many startups have emerged that have expressed their willingness to replace Tornado Cash.

Chainalysis researcher noted that he does not support the decision to ban Tornado Cash. According to him, one of the biggest gaps in the activities of law enforcement agencies is the low level of knowledge about blockchain technologies. Illum assured that as cryptocurrencies become more widespread, governments, senior officials responsible for cryptocurrency markets, and law enforcement agencies should also increase their awareness and technical literacy in the industry.

As a reminder, the arrest of Tornado Cash software developer Alexei Pertsev caused a flurry of criticism in the cryptocurrency community. However, the protests subsided after the developer was accused of having ties to the FSB. Some defenders of the service were not deterred by this, and with the support of the Coinbase cryptocurrency exchange, they filed a lawsuit against the government. It should be added that despite the sanctions, hackers continue to successfully use the cryptocurrency mixer.