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Tornado Cash Roman Storm Still on the Hook as Trial Set for July 14

Key Takeaways

  • ​One charge against Tornado Cash’s Roman Storm was dropped, but two major charges still remain;
  • The Department of Justice policy change means crypto devs won't be charged for how others use their tools;
  • Storm still faces accusations tied to $1 billion in laundered crypto, with the trial starting July 14.

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Tornado Cash Roman Storm Still on the Hook as Trial Set for July 14

Roman Storm, one of the founders of Tornado Cash, is still facing federal charges, but federal prosecutors have agreed to drop one part of the case.

In a letter sent to Judge Katherine Polk Failla on May 15, acting US Attorney Jay Clayton said that one of the charges, related to operating an unlicensed money-transmitting business, would be removed.

The change follows new guidance from the Department of Justice. A memo issued on April 8 by Deputy Attorney General Todd Blanche said the agency would no longer charge crypto projects because of how others use their tools.

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As a result, prosecutors will no longer argue that Storm broke rules by failing to register as a money transmitter. But they are not dropping the accusation that he moved funds knowing they were tied to criminal activity.

The government also continues to claim that Tornado Cash helped criminals move over $1 billion in cryptocurrency. Some of that money came from the Lazarus Group, a North Korea-linked hacking team.

Storm still faces two other charges, one for being part of a money laundering scheme and another for helping to break US sanctions. Both of these charges carry a maximum sentence of 20 years in prison.

The remaining part of the dropped charge could lead to up to 5 years if proven. Additionally, Storm's trial is set to begin on July 14.

Meanwhile, Changpeng "CZ" Zhao confirmed during the Farokh Radio podcast on May 6 that he asked US President Donald Trump for a pardon. What did he say? Read the full story.

Aaron S. Editor-In-Chief
Having completed a Master’s degree in Economics, Politics, and Cultures of the East Asia region, Aaron has written scientific papers analyzing the differences between Western and Collective forms of capitalism in the post-World War II era.
With close to a decade of experience in the FinTech industry, Aaron understands all of the biggest issues and struggles that crypto enthusiasts face. He’s a passionate analyst who is concerned with data-driven and fact-based content, as well as that which speaks to both Web3 natives and industry newcomers.
Aaron is the go-to person for everything and anything related to digital currencies. With a huge passion for blockchain & Web3 education, Aaron strives to transform the space as we know it, and make it more approachable to complete beginners.
Aaron has been quoted by multiple established outlets, and is a published author himself. Even during his free time, he enjoys researching the market trends, and looking for the next supernova.

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