Jack Recider

The Commodity Futures Trading Commission, the CFTC, classifies it as a commodity. The SEC classifies it as a security. The IRS classifies it as property. And FinCEN, the Financial Crimes Enforcement Network, classifies it as money, which is what requires people to follow the anti-money laundering laws. The government has made all this so confusing. I hate being in this position.

The Commodity Futures Trading Commission, the CFTC, classifies it as a commodity. The SEC classifies it as a security. The IRS classifies it as property. And FinCEN, the Financial Crimes Enforcement Network, classifies it as money, which is what requires people to follow the anti-money laundering laws. The government has made all this so confusing. I hate being in this position.

I don't want to take the side of criminals who stole this money. But because I want to live in a world where financial privacy exists... I feel like sanctioning privacy tools hurts me. Yes, but the cost of that.

I don't want to take the side of criminals who stole this money. But because I want to live in a world where financial privacy exists... I feel like sanctioning privacy tools hurts me. Yes, but the cost of that.

Because the money-transmitting rules they were supposed to follow was KYC, which stands for Know Your Customer. For them to operate this legally, they would have had to ask everyone who uses the service for their real name, identity, upload your driver's license, tell them your address. And when you do all that, now it's not so private anymore.

Because the money-transmitting rules they were supposed to follow was KYC, which stands for Know Your Customer. For them to operate this legally, they would have had to ask everyone who uses the service for their real name, identity, upload your driver's license, tell them your address. And when you do all that, now it's not so private anymore.

Well, now creators have to maintain a database and a whole backend full of people's personal information. I don't want my personal information in a database somewhere just so I can privately buy a cup of coffee. The best privacy tools are the ones who know nothing about who I am. When the financial system becomes a surveillance system, we start having big problems. Look at China, for example.

Well, now creators have to maintain a database and a whole backend full of people's personal information. I don't want my personal information in a database somewhere just so I can privately buy a cup of coffee. The best privacy tools are the ones who know nothing about who I am. When the financial system becomes a surveillance system, we start having big problems. Look at China, for example.

They have this social credit system where if you do things the government doesn't like, they can restrict what you buy. They can also see everything you buy and make judgments about your character based on it, restricting other areas of your life or even targeting you as a problem citizen. A government that is watching your every purchase is not encouraging of a free society.

They have this social credit system where if you do things the government doesn't like, they can restrict what you buy. They can also see everything you buy and make judgments about your character based on it, restricting other areas of your life or even targeting you as a problem citizen. A government that is watching your every purchase is not encouraging of a free society.

I mean, let's look at some legitimate use cases for why you'd want to use Tornado Cash to hide your transactions. You heard me say that I like to have this buffer between my public life and my private life. The internet is a big, old, dangerous place. And if you don't believe me, listen to the previous 146 episodes of this podcast.

I mean, let's look at some legitimate use cases for why you'd want to use Tornado Cash to hide your transactions. You heard me say that I like to have this buffer between my public life and my private life. The internet is a big, old, dangerous place. And if you don't believe me, listen to the previous 146 episodes of this podcast.

It's important that we secure our stuff and take our privacy seriously. Also, imagine going to buy something from someone, and as soon as you give them the money, they can look to see how much money is in your bank account and all your previous purchases. This is how Ethereum works by default, so we need a way to shield our purchases from the rest of our transaction history.

It's important that we secure our stuff and take our privacy seriously. Also, imagine going to buy something from someone, and as soon as you give them the money, they can look to see how much money is in your bank account and all your previous purchases. This is how Ethereum works by default, so we need a way to shield our purchases from the rest of our transaction history.

You heard how Vitalik, the creator of Ethereum, wanted to donate to Ukraine but wanted to do so privately without anyone knowing. There's another reason. He's a public figure. He wants to keep his political activities to himself.

You heard how Vitalik, the creator of Ethereum, wanted to donate to Ukraine but wanted to do so privately without anyone knowing. There's another reason. He's a public figure. He wants to keep his political activities to himself.

There are nonprofits that I know of who go to great lengths to keep their donors private because donors don't want the public to know what causes they're giving towards and don't want any extra solicitation from people asking them for more money. But I keep thinking about stories of people living in oppressive regimes, China, Russia, Iran.

There are nonprofits that I know of who go to great lengths to keep their donors private because donors don't want the public to know what causes they're giving towards and don't want any extra solicitation from people asking them for more money. But I keep thinking about stories of people living in oppressive regimes, China, Russia, Iran.

If you live there and speak up against the government, you could easily go to jail. And these governments want strict control over their citizens, so monitoring financial transactions is crucial to keeping a strong grip on them. So dissenters and activists in these countries absolutely need a way to send and receive money in a private way.

If you live there and speak up against the government, you could easily go to jail. And these governments want strict control over their citizens, so monitoring financial transactions is crucial to keeping a strong grip on them. So dissenters and activists in these countries absolutely need a way to send and receive money in a private way.