Tornado Cash DAO Members Launch Proposal to Raise Funds to Hire Legal Team to Fight US Treasury Sanctions

According to The Block, members of the Tornado Cash DAO launched a proposal called "Save Tornado Cash: Formally Challenge the Sanctions of the U.S. Treasury Department". The proposer suggested that the DAO raise funds on behalf of Tornado Cash and hire a legal team to fight the sanctions. The proposal also calls on the DAO to file a legal challenge with the U.S. Supreme Court if necessary. According to the proposers, successfully overturning the sanctions could set a precedent for other cryptographic privacy solutions like Tornado Cash. Another community member suggested that the governance of the DAO should manage an on-chain legal defense fund. There have also been calls for the DAO to conduct on-chain voting to select the appropriate law firm to represent the community in legal proceedings. MakerDAO representative Chris Blec believes that since there is no legal entity called "Tornado Cash", raising funds for legal defense under such a banner may invite new troubles, be misleading and dangerous. Blec stated that Tornado Cash is software code, and the best way is to fight for the privacy of individuals. The Tornado DAO is a decentralized autonomous organization that manages the protocol's treasury. It has over 9,000 members according to DeepDAO, but only 163 members are actively involved in its governance according to SnapShot.