• 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

2 years 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

MarketMaestro Predicts Strong Rally for Ethereum Amid Bitcoin Trends

chest

MarketMaestro predicts a bullish outlook for Ethereum, indicating a strong rally as it forms an inverse Head and Shoulders pattern.

user avatarGustavo Mendoza

Exploring the Mechanics of XLS66 Amendment Vaults

chest

Pundit Bodhi explains the operational mechanics of the XLS66 amendment vaults for XRP holders.

user avatarMiguel Rodriguez

Understanding the XLS66 Amendment and Its Benefits for XRP Holders

chest

Crypto expert James explains the XLS66 amendment, detailing its benefits for XRP holders, including a structured lending protocol and yield earning through MPT tokens.

user avatarRajesh Kumar

France Pushes for More Euro-Pegged Stablecoins Amid US Dominance

chest

French Finance Minister Roland Lescure calls for the development of more euro-pegged stablecoins to reduce reliance on US dollar-dominated cryptocurrencies.

user avatarArif Mukhtar

Wrapped XRP Now Live on Solana, Expanding Utility for Holders

chest

Wrapped XRP (wXRP) has launched on the Solana blockchain, allowing XRP holders to trade, earn yield, and access liquidity without selling their tokens.

user avatarLuis Flores

Cardano Price Shows Signs of Potential Rebound

chest

A popular analyst, Ali Martinez, has identified a support level for Cardano at 0.249, suggesting a potential price rally of up to 200%, but warns of risks if this level is breached.

user avatarMaria Gutierrez

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.