Blender.io, a cryptocurrency mixer, has been sanctioned by the US Treasury

The US Department of the Treasury has launched an investigation into cryptocurrency mixing provider Blender.io.

Customers in the United States will no longer be able to utilise the service, which allows users to add an extra layer of secrecy to their bitcoin transactions by “mixing” their tokens.

According to Brian Nelson, the Under Secretary of the Treasury for Terrorism and Financial Intelligence, this is the first time a virtual currency mixer has been sanctioned.

Blender.io was allegedly used to process $20.5 million in stolen currencies, according to the government department.