Coinbase filed a complaint against OFAC due to the Tornado Cash Sanctions.   

Tornado Cash, including the purported entity, the website tornado.cash, 37 smart contracts, and an address that was used to accept donations to develop the project, were added to the OFAC SDN List on August 8, 2022. This was the first ever sanction against open source code. OFAC alleged that the mixer was used to launder money.   The lawsuit challenges the addition of Tornado Cash to the SDN List because it’s an unprecedented, overbroad action that exceed’s OFAC’s statutory authority and infringes on their constitutional rights and the ability of law-abiding Americans to engage freely and privately in financial transactions.   Appreciate Coinbase stepping up to the plate - even though it’s probably in their financial interest to do this, it’s also good for the overall industry. 

This sanction could lead to a slippery slope, and the best time to nip it in the bud is with the first.

Full blog here.