Coinbase and six individuals have filed a motion for a partial summary judgment in a Texas District Court, seeking to overturn the United States Treasury’s decision to sanction crypto mixer Tornado Cash.
The plaintiffs argue that the Office of Foreign Asset Control (OFAC) exceeded its statutory powers under the International Emergency Economic Powers Act (IEEPA) and violated the free speech clause of the U.S. Constitution’s First Amendment.
The plaintiffs claim that the provision does not apply to open-source software, as smart contracts are incapable of being owned and should not be considered property under IEEPA.
The lawsuit is part of a broader effort to restore internet privacy rights for US citizens. The six plaintiffs behind the filing are Joseph Van Loon, Tyler Almeida, Alexander Fisher, Preston Van Loon, Kevin Vitale, and Nate Welch, most of whom had previously interacted with Tornado Cash.
