They also banned developers that worked on Tornado Cash (not just the project, any developers that worked on it), a project that had a deployment put on the OFAC list. It's almost universally agreed to be an unnecessary step by Microsoft.
Did they ban anyone other than the core project developers? There were specific people called out by name in the Dutch press release believed to have personally profited from North Korea's money laundering through Tornado Cash. That's pretty different from “any developers”
I note that Matthew Green's mirror and GitHub account do not appear to have been blocked, which would fit with the idea that there's more to this than just committing code:
