Tornado Cash case sparks controversy again: U.S. Treasury Department's regulatory transparency is questioned The U.S. Treasury Office of Overseas Assets Control (OFAC) removed Tornado Cash's smart contract from the sanctions list in March, but the deal developer Roman Semenov still faces sanctions as North Korean hackers used it. This "continuous" accountability not only sets a dangerous precedent for the market, but also intensifies public doubts about regulatory impartiality and transparency. It is worth noting that when OFAC lifting contract sanctions, it emphasizes that it is an independent decision rather than a court decision, and this statement implies that regulators are trying to retain the greatest discretion. In fact, the Ministry of Finance is adopting a "technical response" strategy: on the one hand, it limits the court's judgment to the narrow category of "immutable contracts", and on the other hand, it continues to advocate sanctions on variable agreements and their developers. This operation has put the entire DeFi industry, especially privacy protocol developers, into greater uncertainty. However, the regulatory dilemma reflected in this case is far more complicated than it seems. This is essentially a foundation for the principle of technology neutrality when regulators require developers to predict and guard against all potential uses of code on the grounds of national security. What is even more worrying is that OFAC has not yet given clear standards on the boundaries between "development behavior" and "criminal assistance", which has also turned open source code contributions into a roulette that bets against the law. The final ruling of the district court has not yet been released, but regardless of the result, the case has had a profound impact on the crypto ecosystem. Many privacy protocol developers should also start reevaluating the legal risks of projects, and some teams are even considering turning to a completely anonymous development model. This regulatory tug-of-war is not only about the survival of an agreement, but also about redefining the boundaries between technological revolution, innovation and compliance in the digital age. Therefore, in this collision between technological evolution and regulatory framework, how to balance privacy protection and crime prevention and control is still an urgent issue of the times. #Cryptocurrency #OFAC #TornadoCash