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Blockchain Advocacy Groups Defend Tornado Cash

The organizations have asked US authorities to dismiss the case agains Roman Storm, arguing freedom of software creation

April 6, 2024 07:10 AM

Reading time: 1 minute, 50 seconds

TL;DR Three blockchain advocacy groups have stepped in to defend Tornado Cash developer Roman Storm against criminal charges in the US. Their filings argue for the protection of developers from legal actions that could have far-reaching impacts on the crypto industry. These groups present compelling arguments emphasizing software publication as free speech and the non-role of developers in illicit activities conducted through their platforms.

Three blockchain advocacy groups have filed amicus curiae briefs to support Tornado Cash developer Roman Storm, asking authorities to dismiss criminal charges levied against him in the United States, marking a significant moment in the ongoing debate over developer liability and the freedom of software creation.

Advocacy Groups Step Forward

The Blockchain Association, CoinCenter, and the DeFi Education Fund have emerged as vocal defenders of Roman Storm, highlighting a critical flaw in the government's case against him.

Marisa Tashman Coppel from the Blockchain Association criticized the government's portrayal of Tornado Cash as an unlicensed money transmitter, emphasizing that, under existing regulations, a money transmitter must have control over user assets which Tornado Cash did not.

Similarly, CoinCenter's Peter Van Valkenburg stressed that the developers were wrongly charged, drawing parallels between Tornado Cash and tools like TurboTax to illustrate the non-essential role of Tornado Cash's software tools and user interface in transactions.

"Without the ability to independently move funds on a user's behalf, one cannot be a money transmitter."

Legal Arguments and Comparisons

The advocacy groups presented several legal arguments, including the defense of software publication as a form of free speech and the assertion that developers should not be held accountable for third-party misuse of their software.

The DeFi Education Fund's Chief Legal Officer, Amanda Tuminelli, pointed out the unprecedented use of the International Emergency Economic Powers Act (IEEPA) against a developer like Storm, arguing that developers do not interact with sanctioned counterparties in the manner suggested by the charges.

Implications for the Crypto Industry

The outcome of this case could have significant implications for the cryptocurrency industry, potentially setting precedents for how developers are treated under the law. The advocacy groups' filings emphasize the importance of protecting developers from legal action that could stifle innovation and the development of new technologies.

Looking Ahead

As the case continues, the crypto community watches closely, understanding that the decision could influence not just the future of Tornado Cash but the broader landscape of blockchain development.

With the trial of Roman Storm set for September, the industry awaits a verdict that could redefine the boundaries of developer liability and the definition of money transmission in the context of decentralized platforms.

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