Popular DEX and automated market maker Uniswap has blocked over 250 addresses saying they were related to the sanctioned crypto mixer Tornado Cash or to stolen funds. Yearn.Finance developer Banteg tweeted that 30 of the addresses have a related Ethereum Name Service ID, and they are supposedly legitimate users that have fallen to term collateral damage.
30 out of 253 of blocked addresses, or around 12%, have an associated ens name. most are likely legitimate users that have fallen to trm collateral damage. pic.twitter.com/TEfz2gKn5K— banteg (@bantg) August 19, 2022
Later, Uniswap team member JFrankfurt responded to Banteg on GitHub, saying although at first Uniswap blocked addresses that were counter-parties to restricted addresses, they made changes later, and currently blacklisted addresses are sanctioned directly or received scam/fraud/hack funds directly.
Frankfurt added that the DEX is aware that blocking can result in incorrect bans of innocent users and is cautious about it. According to the developer, now the blocked addresses are publicly known as scams/restricted.