Railgun Rejects North Korea Deployment as It Hits $1B Total Volume

Railgun, a cryptocurrency privacy protocol, has rejected multiple claims stemming from its direct participation in providing cryptocurrency laundering for North Korea and other entities authorised by the US government. In support of this rejection, Railgun declares that its zero knowledge-based technology guarantees that the transaction details are limited to the owner’s interest, stating its priority over transaction privacy. Additionally, it notes that the allegation imposed lacks evidence, knowing that there is no proof reasoning protocol for any illegal move. 

This circumstance came right after the protocol reached the total transaction volume of $1B. According to a post made by Vitalik Buterin, a co-founder of Ethereum, on X, he honoured and supported the Railgun protocol, adding a good sense of popularity.

#VitalikButerin emphasized the importance of privacy in crypto, which led to a price increase in $RAIL @VitalikButerin$scrt #RAIL $torn $xmr $zec $zkzx $eth $ethfi #PrivacyMatters #EtherFi #privacycoins #Vitalik #Ethereum #railgun pic.twitter.com/JdI3fZmp2U

— #HEX #Whale #SFamisland Blessed (@LongedBitcoin) April 24, 2024

“Privacy is normal,” Buterin affirmed. “Railgun uses the privacy pools protocol, which makes it much harder for bad actors to join the pool without compromising users’ privacy.”

Elliptic, a blockchain security firm, said that Railgun is a suitable choice for traders, claiming that it is a “prime alternative to Tornado Cash”, which means the traders who previously used Tornado Cash but  after the US government charged the firm for its illegal move, now see Railgun as a good alternative. 

Allegations Against Railgun

According to last year’s statement made by the FBI, the Cyber attackers based in North Korea were found to use the Rialgun to hide approximately $60M worth of Ether that was earlier stolen in 2022. 

Railgun recently made a post focusing on Colin Wu’s statement, that it didn’t entertain the allegations, claiming it was “false reporting.” It announced that “Any suggestion that sanctioned individuals, governments, or entities such as North Korea have used RAILGUN has no evidence & is based only on speculation.”

“From 2023, all RAILGUN transactions go through a Private Proofs of Innocence check, which verifies that transactions do not come from sanctioned or malicious activity”.

Also read: Hong Kong Authorities Suggest Self-Regulating The Crypto Corporation