Top Crypto Economy Privacy Coins Take a Hit After US Government Bans Tornado Cash

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Following the US government’s ban on the use of Ethereum mixing service Tornado Cash, major privacy coins in the crypto economy lost more than 8% in USD value the following evening after the news broke. prohibition. Major privacy coins like monero and zcash managed to recoup losses two days later, but in the past 24 hours, major privacy coins by market cap are today around $6.44 billion, down 3% from the previous day.

While top privacy coins have seen some recovery, most beat the market last week when OFAC sanctioned crypto mixing service Tornado Cash

Last week was a bad week for financial privacy advocates, as the US government’s Office of Foreign Asset Control (OFAC) sanctioned the Ethereum (ETH) mixing service Tornado Cash and a slew of associated addresses. based on ETH.

The ban led to removal of Github code and suspensions, a “celebrity dusting”, the Tornado Cash Discord server erasure, and Dutch law enforcement arrested the 29-year-old developer known as Alexey Pertsev.

However, the ban did not lead to any significant increase in the prices of major privacy coins and, in fact, most major privacy tokens plunged following the official US government announcement.

The Crypto Economy's Top Privacy Coins Take a Hit After US Government Bans Tornado Cash
XMR/USD 15-minute chart on August 15, 2022. Since the ban on August 8, privacy coins like XMR, ZEC and many more have been highly volatile.

The leading privacy coin by market capitalization, monero (XMR), lost 8.82% in the 24-hour period from late evening August 8 to early morning trading sessions August 9. Zcash (ZEC) followed the same pattern, losing 8.75% against the US dollar following the ban.

A wide variety of top privacy coins by rating saw a similar pattern lose between 5% and 15% post-ban. However, most of the major privacy crypto assets have recouped some of the losses felt last Monday about two days later.

Monero has gained 0.3% since last week and seven-day stats show zcash up 5.9% against the US dollar. Although on August 15, the $6.44 billion market cap of all major privacy coins fell 3% from the previous day.

While privacy coins with the largest market caps have seen lackluster gains against crypto assets like Ethereum (ETH), some privacy coins have jumped into double digits over the past seven days.

Double-digit gainers include zclassic (ZCL) which jumped 76%, zero (ZER) rose 74.5% and lethean (LTHN) rose 60.8% this week. The biggest losers in the private coin economy this week were navcoin (NAV) which lost 40.4%, private bitcoin (BTCP) which lost 26.3% and daps coin (DAPS) which lost 40.4%. fell 19.7%.

Keywords in this story

$6.44 billion, 3% loss, Bitcoin Private, daps coin, double digits, gains, lethean, losses, market caps, markets, Monero, Monero (XMR), Navcoin, OFAC, price, privacy, privacy coins , privacy tokens, ban on use , ban, Sanctions, Tornado cash, US Government, Ratings, xmr, Zcash, zcash (ZEC), zclassic, ZEC, Zero

What do you think of private coins fluctuating in value after the US government banned Tornado Cash? Let us know what you think about this topic in the comments section below.

Jamie Redman

Jamie Redman is the News Manager at News and a fintech journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He is passionate about Bitcoin, open-source code, and decentralized applications. Since September 2015, Redman has written over 5,700 articles for News about disruptive protocols emerging today.

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