TornadoCash earns $2.5 billion in 2025: Why does the privacy protocol remain strong after sanctions

According to the latest monitoring data, TornadoCash generated a total income of 693,412 ETH in 2025, with a total value of approximately $2.5 billion, and a net inflow of $1.4 billion when valued in USD. What does this figure reflect? Why does this privacy protocol still maintain strong business volume after experiencing OFAC sanctions controversy?

The Privacy Demand Behind the Data

The True Meaning of Business Scale

What does 693,412 ETH represent? Based on the current ETH price of $3,095.60, this number demonstrates the ongoing demand for private transfers in the market. According to the monitoring data, in 2025, TornadoCash’s fund inflows were primarily dominated by ETH rather than USD stablecoins. This detail is crucial, indicating that in the crypto native space, industry participants’ demand for Ethereum’s privacy transfers significantly exceeds that for stablecoins.

In other words, this is not small, scattered demand, but large-scale, continuous privacy transaction activity.

Why ETH and not stablecoins

There are several reasons behind this preference:

• ETH is the core asset of the Ethereum ecosystem, so privacy needs are naturally greater
• Stablecoin users are more likely to be institutions and risk-averse entities, with relatively lower privacy needs
• Crypto natives focus more on asset privacy rather than fiat on/off ramps privacy
• ETH’s liquidity and use cases are more diverse, and the demand for privacy transfers is stronger after the transfers

Resilience After Sanctions

The Impact and Rebound of OFAC Sanctions

TornadoCash was sanctioned by the U.S. OFAC in 2022, which initially raised concerns about the future of privacy protocols in the industry. However, from the 2025 data, this protocol not only did not decline but maintained considerable industry influence.

The $1.4 billion annual net inflow indicates that the market has not abandoned the demand for privacy tools. Despite regulatory pressure, users continue to utilize this protocol, reflecting two realities:

• Privacy needs are objective and will not disappear due to regulation
• The resilience of decentralized protocols is stronger than expected and difficult to fully disable

Recent Events as Evidence

Coincidentally, just a few days ago (January 11, 2026), a hacker of the Truebit protocol deposited all 8,535 ETH (about $26.44 million) stolen funds into TornadoCash for money laundering. Although this incident involved illegal use, it also from another perspective confirms TornadoCash’s actual role in the market—when someone needs private transfers, it remains the preferred tool.

The Rising Topic of Privacy

It is worth noting that privacy has recently become a hot topic in the crypto community. Ethereum co-founder Vitalik Buterin previously expressed support for privacy, emphasizing that personal privacy should not be infringed. This represents recognition from developers and thought leaders of the value of privacy, providing ideological support for protocols like TornadoCash.

Summary

What does TornadoCash’s $2.5 billion revenue in 2025 indicate? First, the demand for privacy in the crypto space is real and persistent. Second, even under regulatory pressure, decentralized protocols can still sustain vitality. Third, ETH as the main asset for privacy transfers reflects the crypto natives’ emphasis on asset privacy. Finally, this data reminds us that the tension between privacy and regulation remains a long-term challenge for the industry. From both business scale and market reality, TornadoCash has become an important infrastructure for privacy needs rather than a fleeting product.