On October 28, Kan Nawaday, Steven Swaney, Sophia Kielar, and Eva-Maria Ghelardi published “Shifting Crypto Landscape Complicates Tornado Cash Verdict” in Law360. The following is an excerpt:
On Aug. 6, a jury in the U.S. District Court for the Southern District of New York found Roman Storm, the founder of Tornado Cash, guilty of conspiracy to operate an unlicensed money transmitting business in violation of Title 18 of the U.S. Code, Section 371. The jury deadlocked, however, on the money laundering conspiracy and sanctions evasion conspiracy counts.
This mixed outcome in U.S. v. Storm reflects the challenges prosecutors face in proving intent against developers of decentralized, open-source software, while also affirming that decentralized finance projects are not insulated from Bank Secrecy Act obligations.
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