Tornado Cash

Tornado Cash is a decentralized privacy application built primarily on the Ethereum and BNB Chain ecosystems. It addresses the problem of on-chain transaction traceability by allowing users to deposit and withdraw cryptocurrency in a way that breaks the public link between sender and receiver addresses. It is aimed at anyone who wants to conduct blockchain transactions without exposing their full transaction history to the public.

Tornado Cash uses smart contracts and cryptographic proofs to accept deposits of a fixed denomination and later allow withdrawals to a different address, severing the on-chain connection between the two. The TORN token is the protocol's governance token, giving holders the ability to vote on changes to protocol parameters and smart contract upgrades. The protocol operates across Ethereum and BNB Chain, with no native consensus algorithm of its own, as it relies entirely on the underlying blockchains for settlement.

The protocol generated 615,692 USD in fees over the trailing 30 days and 5,344,616 USD over the trailing 12 months, paid by users who interact with the privacy pools. Of the 30-day fees, 407,474 USD was recorded as holder revenue — the portion that flows to TORN token holders — while 208,218 USD went to the supply side, reflecting a take rate of approximately 66.18% over that period. Fee growth over the trailing 30 days was negative 31.56%, and revenue growth over the same window was negative 33.03%, indicating that both fee and revenue volumes contracted relative to the prior comparable period. On an annualized basis derived from the trailing 30 days, fees project to 7,490,919 USD and protocol revenue to 4,957,600 USD.