The U.S. Treasury Department and Washington-based advocacy group Coin Center have jointly moved to end their court dispute over sanctions on the Ethereum privacy protocol Tornado Cash. On Thursday the U.S. Court of Appeals for the Eleventh Circuit granted a joint motion to vacate the prior judgment and remanded the case with instructions to dismiss, effectively closing the appeal. The appeal became moot after the Treasury’s Office of Foreign Assets Control rescinded its 2022 designation of Tornado Cash in March 2025. Rather than defend its authority to sanction open-source software, the government opted to withdraw the case. "This is the official end to our court battle," Coin Center Executive Director Peter Van Valkenburgh said, calling OFAC’s earlier position "dangerously overbroad." The dismissal removes a high-profile test of how far U.S. sanctions laws can reach into decentralized finance. While the government’s decision leaves broader regulatory questions unresolved, crypto industry advocates view the outcome as a signal that agencies may tread more carefully when applying national-security tools to blockchain software.