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Ethereum One Step Closer To Absolute Censorship Due To OFAC Compliance

  • Ethereum (ETH) has moved one step closer to total censorship because to OFAC compliance.

  • The daily minting of OFAC-compliant Ethereum blocks has increased to 73%, adding to the community's rising censorship worries.


05-Nov-2022 By: Rohit Tripathi
Ethereum One Step Cl

Considering that protocol-level censorship is a barrier to the 

crypto ecosystem's goal of extremely open and accessible finance, the community has been monitoring Ethereum's increasing compliance with requirements imposed by the Office of Foreign Assets Control (OFAC). 

Over the past 24 hours, it was discovered that the Ethereum network enforced OFAC compliance on more than 73% of its blocks.

As previously reported by CoinGabbar, 51% of Ethereum blocks were discovered to be compatible with OFAC standards, raising censorship concerns. However, data from sources revealed that the daily minting of OFAC-compliant blocks had increased to 73% as of Nov. 3.

Some OFAC-mandated MEV-Boost relays will censor specific transactions. As a result, in order to maintain Ethereum's neutrality, the network must implement a non-censoring MEV-Boost relay.

Ethereum validators can lower OFAC compliance by removing relays that censor transactions from their MEV-Boost setup, such as BloXroute Max Profit, BloxRoute Ethical, Manifold, and Relayooor.

Compliance with OFAC enables the United States government agency to impose economic and trade penalties. Earlier, the agency sanctioned Tornado Cash and several ETH addresses.

As of today, 45% of all Ethereum (ETH) blocks are OFAC compliant.

Will the Ethereum Network enforce OFAC compliance across all of its blocks? Share your thoughts on the comment box below.

Read also: US OCC Made Its Staff Available For Fintech Dialogues

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