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Home»Taxes & Regulation»Tornado Cash’s legal win prompts co-founder Roman Storm to fight charges
Taxes & Regulation

Tornado Cash’s legal win prompts co-founder Roman Storm to fight charges

December 21, 2024No Comments3 Mins Read
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Roman Storm, the creator of the popular crypto-mixing platform Tornado Cash, has taken a bold step in his legal battle against US authorities. In a recent development, Storm has filed a motion to dismiss the criminal charges brought against him, citing a landmark decision by the Fifth Circuit Court that declared sanctions imposed on Tornado Cash’s smart contracts by the US Treasury’s Office of Foreign Assets Control as unlawful.

The crux of Storm’s argument for the dismissal of charges lies in the Fifth Circuit Court’s ruling that autonomous smart contracts, which operate without human intervention, cannot be classified as property under the law. This ruling directly challenges the foundation of the allegations leveled against Storm, particularly those related to violations of the International Emergency Economic Powers Act (IEEPA).

Storm’s legal team has emphasized that he had no authority over Tornado Cash’s smart contracts, which function independently without his control. They assert that Storm could not have knowingly or willfully violated the IEEPA since he had no ability to influence the operations of the software. In their defense, Storm’s lawyers stated, “These alleged transactions were not services, not owned or controlled by Tornado Cash, and could not have resulted from any deliberate choice by Mr. Storm because they were outside of his control.”

Furthermore, Storm is seeking the dismissal of additional charges, including conspiracy to operate an unlicensed money-transmitting business and money laundering, on the grounds that they are founded on faulty legal premises. His legal team argues that the government’s case misrepresents the nature of Tornado Cash’s smart contracts, which operate autonomously and without oversight, absolving Storm of any accountability for transactions processed through the platform.

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The defense maintains that Storm’s lack of control over the smart contracts negates the intent and knowledge required for money laundering and money transmission charges. They also highlight the expansive interpretation of criminal statutes by the government in Storm’s case, citing a violation of due process.

As the legal battle unfolds, Storm remains steadfast in his pursuit of justice, leveraging the recent court ruling to bolster his defense and push for the dismissal of all charges. The outcome of this case will not only have implications for Storm but could also set a precedent for the legal treatment of autonomous smart contracts in the cryptocurrency space.

This article was originally published on a WordPress platform and has been rewritten to provide a fresh perspective on the ongoing legal saga surrounding Tornado Cash and Roman Storm.

Cashs charges CoFounder fight Legal prompts Roman Storm Tornado Win
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