Tornado Cash Co-Founder Speaks Out as Privacy-Focused Crypto Projects Face Ongoing Legal Battles

Roman Storm, co-founder of the privacy-focused cryptocurrency protocol Tornado Cash, recently expressed his concerns about the ongoing money-laundering conspiracy prosecution against him. Storm, who has reportedly spent over a million dollars in legal costs, emphasized that the prosecution represents a “terrifying” precedent for software developers and the cryptocurrency industry as a whole.

Storm’s Speech and Public Reaction

Storm took to social media to share his thoughts on the case, stating that he is being prosecuted for writing open-source code that enables private crypto transactions in a completely non-custodial manner. The Tornado Cash co-founder warned that this prosecution could set a precedent for criminalizing software developers and emphasized the importance of protecting user privacy.

Storm’s speech garnered support from the crypto dev community, with Ethereum co-founder Vitalik Buterin raising his voice in support of Tornado Cash. Buterin emphasized the importance of protecting the Ethereum community and upholding honor. Other professionals from the blockchain industry, including lawyer Keri Axel and politician and entrepreneur Vivek Ramaswamy, also expressed their support for Storm and Tornado Cash.

Why Many Expect the Case to Be Closed

Some observers of the case believe that prosecutors may drop the charges against Storm. The recent pardon of Ross Ulbricht, founder and operator of the infamous online black market Silk Road, by newly sworn-in U.S. President Trump has sparked hopes that the Trump administration will be lenient towards crypto professionals facing charges. Additionally, Trump’s executive order banning federal agencies from pursuing work on a central bank digital currency (CBDC) signals the White House’s support for private transactions, which could bode well for Tornado Cash.

A History of Legal Clashes

Privacy-focused cryptocurrencies, mixers, and private crypto wallets have a history of clashes with regulators like the Financial Crimes Enforcement Network (FinCEN). For instance, the Samourai Wallet co-founders Keonne Rodriguez and William Lonergan Hill were charged with money laundering and unlicensed money-transmitting business in 2024. The wallet website was seized, and the founders face up to 25 years in prison.

Other notable cases include the shutdown of the largest custodial mixers, such as Bitcoin Fog, Helix, Blender, Sinbad, and Chip Mixer. Additionally, market liquidity for privacy tokens, including Monero, Zcash, and DASH, has reached all-time lows as crypto exchanges continue to remove these assets from their listings due to the ongoing crackdown on crypto projects using mixing tools.

As the case against Storm and Tornado Cash continues, it remains to be seen how the narrative and treatment of privacy coins and mixer services will change under the Trump administration. Storm’s next court date is scheduled for April 14, 2025.

Stay up-to-date with the latest news on cryptocurrencies and blockchain on Global Crypto News.

“You created Tornado in significant part because of my suggestion that it is something worth building. It would violate basic honor for me to do that, and then fail to support you in your hour of need. In Ethereum we protect our own, and uphold our honor.” – Vitalik Buterin

For more information on the ongoing legal battles involving privacy-focused crypto projects, visit Global Crypto News.

Tips for Crypto Investors

• Stay informed about the latest developments in the crypto industry
• Understand the risks and benefits of investing in privacy-focused cryptocurrencies
• Keep an eye on market trends and liquidity for privacy tokens
• Consider the potential impact of government regulations on the crypto market

Key Takeaways

• Tornado Cash co-founder Roman Storm faces ongoing money-laundering conspiracy prosecution
• The case has sparked concerns about the criminalization of software developers and the importance of protecting user privacy
• The Trump administration’s stance on central bank digital currencies and private transactions could impact the outcome of the case
• The crypto industry is closely watching the developments in the case and its potential implications for privacy-focused crypto projects

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