Tornado Cash (TORN) Plummets After Binance Delisting Announcement

After Binance exchange announced the delisting of Tornado Cash (TORN), the token plummeted over 55%.

Tornado Cash (TORN) Plummets After Binance Delisting Announcement
Image: Reuters

As reported by Coin68, Binance will officially delist projects including Tornado Cash (TORN), BitShares (BTS), PERLeco (PERL), and Waltonchain (WTC) effective December 7th, 2023, citing non-compliance with the exchange's standards.

Following the announcement, TORN has experienced continuous declines over the past 24 hours. Starting near $4.1 USD, the cryptocurrency mixer token Tornado Cash sharply dropped to $1.6 USD, marking a staggering 61% fluctuation.

1-hour chart of TORN/BUSD pair on Binance as of 10:50 AM on November 28th, 2023

Alongside TORN, BTS, PERL, and WTC have also decreased by 45%, 61%, and 60% respectively.

Binance confirmed the delisting reasons:

"We regularly review each listed digital asset to ensure they continue to meet our high standards. If a coin or token no longer meets those standards or is subject to market changes, we may consider delisting to protect user interests."

Since being accused by the U.S. Department of the Treasury's Office of Foreign Assets Control (OFAC) in August 2022 as a money laundering tool for malicious actors, Tornado Cash has faced its darkest days. The U.S. government subsequently arrested Roman Storm, while co-founder Roman Semanov remains at large.

During this time, the U.S. also prohibited its citizens and domestic companies from interacting with the mixer platform. This decision sparked strong backlash from the Western crypto community, citing violations of internet software privacy and neutrality. Coinbase even initiated a legal campaign to appeal the U.S. ruling.

Regarding Binance, the exchange agreed last week to settle historical charges with the U.S. government, admitting to violations of banking security laws and agreeing to a $4.3 billion fine. Changpeng Zhao also acknowledged wrongdoing, personally fined $50 million, and announced his resignation, passing the CEO role to Richard Teng. Yesterday, the new CEO outlined upcoming plans, aiming to transform Binance into a conventional financial company.