The case against Roman Storm, co-founder of Tornado Cash, has drawn attention to the risks faced by software developers in the crypto industry. Paradigm's legal team has come forward to defend Storm, arguing that the charges against him and their interpretation of legal standards could have serious repercussions for the industry.
Allegations Against Roman Storm
Paradigm's legal team contends that the government's case against Storm stretches far beyond reason. They insist that the jury must find that Storm knowingly operated a money transmission service and processed criminal proceeds—claims Paradigm argues are not grounded in legal precedent.
Publishing Code is Not Money Transmission
The Treasury Department and FinCEN have long clarified that publishing code isn’t the same as transmitting funds. Paradigm cites this history as a key reason the case should not proceed under current charges. They stress that the law protects open-source developers—Storm included.
The Future of DeFi at Stake
The brief, filed as amicus curiae, allows Paradigm to weigh in as a third party. They believe the outcome could define how U.S. courts treat decentralized software in years to come. If Storm loses, Paradigm warns, it could send a chilling message to developers across the crypto and DeFi landscape.
The case of Roman Storm represents a critical moment in the application of law regarding decentralized software and may significantly influence the future of DeFi. Paradigm emphasizes the need to protect developers to avoid unintended consequences for the entire industry.
