Tornado Cash Co-Founder Roman Storm Convicted of Unlicensed Money Transmitting
A jury found Roman Storm, co-founder of Tornado Cash, guilty of operating an unlicensed money transmitting business. However, the jury was deadlocked on charges of money laundering and sanctions violations.
Jurors requested transcripts and clarifications on specific events and wallets on sanctions lists, indicating the complexity of the case. The deadlocks on money laundering and sanctions highlight the challenge in proving criminal intent and conspiracy "beyond a reasonable doubt" in digital asset cases.
This verdict establishes a significant precedent for developers of privacy-focused crypto tools. The U.S. government's next steps regarding retrial remain uncertain. The case underscores the ongoing regulatory scrutiny of services perceived to facilitate illicit activities, impacting innovation, privacy, and compliance in the crypto space.