Tornado Cash token falls 57% after Binance announces delisting

The governance token for crypto mixer Tornado Cash, TORN, has fallen by over 50% since Nov. 26, in response to information from CoinGecko. The crash got here on the identical day that crypto change Binance introduced it was delisting the token.

Tornado Cash is a cryptocurrency mixing protocol, and TORN is used to vote on proposals for upgrading the protocol. From Nov. 26 to 27, the token took a nosedive, falling from $3.90 to simply $1.66 — a decline of 57%. The worth decline occurred because the world’s largest crypto change by quantity, Binance, announced that it might cease accepting deposits of TORN on Dec. 8 and not course of withdrawals after March 7, 2024.

On Aug. 8, Tornado Cash was sanctioned by the US Workplace of International Asset Management for allegedly facilitating money laundering. This legally barred U.S. residents from utilizing the protocol.

Associated: Blockchain Association files support in suit to lift Tornado Cash sanctions

Binance, in the meantime, initially claimed that it didn’t enable U.S. residents to make use of its change. However on Nov. 21, the US Division of Justice introduced that it had reached a plea cope with Binance. As a part of the deal, Binance admitted that it had served some U.S. customers with out having a license to do enterprise within the nation.

In its announcement, Binance stated it delisted TORN as a result of the token not meets its customary for listable property, based mostly on quite a lot of components. “At Binance, we periodically assessment every digital asset we record to make sure that it continues to satisfy the excessive degree of normal we count on,” the Binance group said. “When a coin or token not meets this customary, or the trade modifications, we conduct a extra in-depth assessment and doubtlessly delist it.”