• Dapps:16.23K
  • Blockchains:78
  • Active users:66.47M
  • 30d volume:$303.26B
  • 30d transactions:$879.24M

Roman Storm to Face Trial on Charges of Money Laundering and Sanctions Evasion

user avatar

by Giorgi Kostiuk

a year ago


Roman Storm, co-founder of the crypto mixer Tornado Cash, is poised for trial after the court denied his request to dismiss allegations regarding his role in the platform.

The Court Insists on Charges

Storm was arrested in Auburn, Washington, and subsequently released on a $2 million bail. His defense team aims to argue for a dismissal of the charges by claiming Storm had no direct role in how the platform was utilized. They contend that Tornado Cash is self-operating software, and Storm lost control after its deployment on the Ethereum blockchain in 2019. However, Judge Katherine Polk Failla ruled that control is not a necessary condition to prove guilt.

The Crypto Community Reacts

The crypto community has responded strongly to the recent ruling. Amanda Tuminelli, legal head of the DeFi Education Fund, argued that developers should not be held responsible for illegal activities committed by third parties misusing open-source software. Notable crypto lawyer Jake Chervinsky criticized the decision, stating, 'This ruling is an attack on the freedom of software developers.'

Challenges of Tornado Cash

The trial date of December 2 is seen as a critical moment regarding the legal treatment of open-source developers in the crypto industry. Tornado Cash, designed to enhance privacy in cryptocurrency transactions, has become controversial due to allegations of its use by hackers associated with North Korea’s Lazarus Group. The platform faced sanctions from the U.S. Treasury Department in October 2022, resulting in a 68% drop in total entries by January 2023.

The U.S. Department of Justice claims Tornado Cash received around $1 million in investments from a venture capital firm, using those funds with expectations of sharing profits. Storm’s ongoing case is set to begin in New York in December, with evidence suggesting that the platform’s co-founders extracted millions in cash from TORN assets, indicating Tornado Cash did not operate purely altruistically. The case is poised to ignite significant discussions regarding the legal responsibilities of open-source software.

0

Rewards

chest
chest
chest
chest

More rewards

Discover enhanced rewards on our social media.

chest

Other news

Galaxy Digital Completes First Tokenized CLO on Avalanche

chest

Galaxy Digital has successfully closed its first tokenized collateralized loan obligation (CLO) deal worth $75 million on Avalanche, marking a significant step in integrating traditional finance with blockchain technology.

user avatarLi Weicheng

Limited Activity in Shibarium's Automated Burn Mechanism

chest

The automated burning mechanism on Shibarium has not produced significant burns in 2026, with manual burns by whales dominating the activity.

user avatarKaterina Papadopoulou

Shiba Inu Community Burns 288 Million Tokens in 24 Hours

chest

The Shiba Inu community has burned 288 million SHIB tokens in the last 24 hours, significantly increasing the burn rate.

user avatarMaya Lundqvist

WalletConnect Launches Wave 2 of Boosted WCT Rewards

chest

WalletConnect has launched Wave 2 of Boosted WCT Rewards, allocating 19 million WCT to eligible stakers on the Optimism network to enhance staking engagement and support long-term network growth.

user avatarLeo van der Veen

UK Faces Recession Threat Due to Trump's Tariffs

chest

Economists warn that tariffs imposed during President Trump's administration could push the UK into a recession, with a potential GDP loss of £22 billion.

user avatarAisha Farooq

Constellation Energy Positioned for Growth Amidst Nuclear Policy Changes

chest

Constellation Energy is strategically positioned to benefit from U.S. nuclear energy initiatives, especially as Germany acknowledges its energy policy mistakes.

user avatarBayarjavkhlan Ganbaatar

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.