Trials close, with privacy being the focal point in the debates over Roman Storm, the developer of Tornado Cash
In the heart of New York, the trial of Roman Storm, the developer behind Tornado Cash, is currently in the jury's hands. The landmark case, unfolding in late July 2025, revolves around Tornado Cash, a decentralized cryptocurrency mixing service, and its alleged role in facilitating over $1 billion in crypto money laundering[1].
The prosecution maintains that Tornado Cash was designed to aid criminals and sanctioned entities, such as North Korea's Lazarus Group, in hiding stolen crypto funds and evading sanctions[1]. They argue that Storm and his co-founder were aware of the platform's misuse and failed to take necessary measures to prevent it, making them complicit in money laundering and sanction violations[1]. Evidence presented includes $350 million moving through Tornado Cash after U.S. sanctions were imposed[1].
On the other hand, Storm's legal team defends Tornado Cash as a privacy tool primarily serving legitimate purposes, much like encrypted messaging apps or VPNs[3][4]. They argue that Storm had no control over Tornado Cash once it became decentralized and immutable[3][4]. Ethereum core developer Preston Van Loon testified to the essential security and privacy benefits provided by Tornado Cash[3].
The implications of this trial are far-reaching. If Storm is found guilty, it could establish a precedent for criminalizing the creation or contribution to open-source privacy tools that can be exploited illicitly[2][4]. This raises concerns about the legal risks for developers working on decentralized finance (DeFi) and privacy-enhancing technology, potentially stifling innovation and privacy rights[2][4].
As of August 1, 2025, the jury is awaiting its verdict. The trial's outcome will likely shape regulatory and legal frameworks around software developer liability and blockchain privacy tools in the U.S.[1][2][3]
Storm faces a maximum prison sentence of more than 40 years if convicted on all counts[1]. His supporters argue that a "guilty" verdict could stifle innovation in the U.S.[1]. The defense asserts that Storm never intended for hackers to use Tornado Cash[1].
Tornado Cash operates as a decentralized, non-custodial privacy protocol that enhances transaction privacy by obscuring the links between crypto senders and recipients[1]. It does this by pooling and redistributing funds with others[1]. The crypto community views the case as a referendum on coders' rights[1].
The jury has no time limit for deliberations in the U.S.[1]. They are expected to reconvene on Thursday to work towards a verdict[1]. In the meantime, Storm's defense fund has appealed for additional donations due to mounting legal costs[2].
[1] The New York Times, "Tornado Cash Trial: Jury Deliberates Software Developer's Liability in Crypto Money Laundering Case," July 31, 2025. [2] CoinDesk, "Roman Storm's Defense Fund Seeks Additional Donations Amidst Mounting Legal Costs," August 1, 2025. [3] Wired, "Tornado Cash Trial: The Privacy Tool on Trial," July 29, 2025. [4] Forbes, "The Tornado Cash Trial: A Precedent for Coders' Rights and Privacy," July 30, 2025.
- The ongoing trial of Roman Storm, accused of creating Tornado Cash, a decentralized cryptocurrency mixing service, could set a legal precedent for software developers involved in creating privacy tools, potentially impacting the crypto community, DeFi, and other privacy-enhancing technology.
- Tornado Cash, a blockchain-based service that enhances transaction privacy by obscuring crypto sender and recipient links, has been involved in allegations of money laundering and sanction violations, leading to a high-profile trial for its co-founder Roman Storm.
- Bitcoin, Ethereum, and other cryptocurrencies are being tested in the Tornado Cash trial, as the case investigates the responsibility of developers in creating privacy tools, such as Tornado Cash, that can potentially be exploited illicitly.
- If found guilty of criminal charges related to Tornado Cash, Roman Storm could face a prison sentence exceeding 40 years, sparking concerns within the crypto community about the potential stifling of innovation in the U.S.
- While Tornado Cash was designed as a privacy tool, similar to encrypted messaging apps or VPNs, its decentralized nature and immutability have brought it under scrutiny for its role in facilitating over $1 billion in crypto money laundering.
- Ethereum core developer Preston Van Loon testified in the trial, emphasizing the essential security and privacy benefits provided by Tornado Cash, as the jury deliberates on the implications of the case for open-source privacy tools and their creators.
