Tornado Cash Co-Founder Vows ‘Strong Defense’ in US Criminal Trial

Roman Storm, one of the founders of the controversial cryptocurrency mixer Tornado Cash, expressed his concern about his upcoming criminal trial and requested support from advocates for the right to privacy. In a post on a social media platform, Storm stated that his legal team would present a strong defense during his trial, set to take place in September 2024. He pleaded not guilty to three charges, which include conspiracy to commit money laundering, conspiracy to operate an unlicensed money-transmitting business, and conspiracy to violate the International Emergency Economic Powers Act. Storm believes that the outcome of his case will have far-reaching consequences for the software and privacy sectors.

Storm’s co-conspirator, Roman Semenov, remains at large since their indictment in August 2023. Following his arrest, Storm was released on a $2 million bond, with his trial scheduled for September 23rd. Another co-founder of Tornado Cash, Alexey Pertsev, was arrested in the Netherlands in August 2022 but was later released before trial in April 2023. As of January 22nd, supporters had donated over $28,000 for the defense of Pertsev and Storm through a funding platform called Juicebox.

The charges against Storm and Semenov revolve around allegations that Tornado Cash facilitated the activities of the North Korea-based hackers known as the Lazarus Group, enabling them to evade U.S. sanctions. As a result, the U.S. Treasury’s Office of Foreign Assets Control (OFAC) added Tornado Cash to its list of Specially Designated Nationals in August 2022. In response, some cryptocurrency advocates have filed lawsuits against the government, claiming that OFAC overstepped its authority in imposing sanctions. These lawsuits, brought by a group of investors and Coin Center, are currently in the appeals process following unsuccessful summary judgments.

The outcome of Storm’s trial has broader implications beyond his personal case. Advocates for privacy and software development are closely watching the proceedings as they believe the ruling will establish a significant precedent for future cases. The controversy surrounding Tornado Cash and its alleged connection to the Lazarus Group highlights the ongoing tension between regulators and those who prioritize the privacy and security offered by cryptocurrency platforms. As the trial approaches, Storm hopes to garner support from individuals who are passionate about maintaining privacy in the digital age, emphasizing the potential impact of the trial on the entire Web3 community and beyond.