Media: FTX blocked the user for interacting with the transaction privacy service

Media: FTX blocked the user for interacting with the transaction privacy service

Media: FTX Banned User for Interacting with Transaction Privacy Service

FTX has suspended the account of a user who sent funds to the Aztec Network platform, which uses zkSNARKs technology to increase the privacy of Ethereum transactions. This was reported by journalist Colin Wu.

According to Wu, FTX has identified the Aztec Connect network as a high-risk mixing service, using prohibited by the trading platform's rules.

FTX said that industry-leading third-party transaction monitoring tools ensure that users do not interact with high-risk addresses.

The exchange has advised customers not to use cryptocurrency mixers in the future, so as not to put their account at risk, Wu added.

In 2020, London-based startup Aztec introduced a second version of the platform based on the second-level scaling solution ZK- Rollups. The use of zkSNARKs zero-knowledge proofs makes it possible to aggregate transactions, increasing throughput up to 300 TPS.

ZkSNARK also makes transactions private by hiding sender, recipient and amount data.

Recall, August 8 The US Treasury has imposed sanctions against the popular Ethereum mixer Tornado Cash. The authorities accused the service of facilitating the laundering of over $7 billion worth of cryptocurrencies, including funds from North Korean hackers.

This caused a wave of tightening of compliance measures in the industry. Circle has blacklisted the USDC addresses of 38 Tornado Cash wallets. DEX dYdX and the Oasis DeFi platform began blocking the accounts of users who had previously interacted with the mixing service.

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