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Home»Ethereum
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Ethereum Foundation Donates $1M for Storm’s Defense; Organizations Support Pertsev’s Appeal

News RoomBy News Room2 weeks ago0 ViewsNo Comments4 Mins Read
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Tornado Cash Developers Gain Strong Community Support Amid Legal Challenges

The Tornado Cash developers, Roman Storm and Alexey Pertsev, are currently facing significant legal challenges due to their involvement with the open-source mixer. In a show of solidarity, the crypto community has rallied around them, particularly as the trials neo-approach. Recently, the Ethereum Foundation contributed $500,000 to Storm’s legal defenses, pledging to match an additional $750,000 raised from public donations. This influx of financial backing underscores the community’s commitment to privacy rights in the blockchain space.

The Ethereum Foundation’s contributions are not isolated, as earlier this year, venture capital firm Paradigm also provided $1.25 million to support Storm. With these latest pledges, the total financial backing for Storm’s legal battle now approaches a remarkable $3 million. Currently, the Tornado Cash developer is out on a $2 million bail, following his arrest by U.S. authorities on August 23, 2023. He stands accused of conspiring to launder over $1 billion in cryptocurrency, some of which reportedly originated from the notorious North Korean hacking group, Lazarus Group.

A jury trial is scheduled for July 14, 2025, and Storm has expressed gratitude for the community’s support, emphasizing that it is crucial for upholding both privacy and the fundamental right to code. The backing from the Ethereum Foundation and other groups reflects a growing consensus in the crypto space: developers should not face criminal liability for creating technology that can be used in various ways, including illicit activities.

Over in the Netherlands, Pertsev’s situation has drawn attention from advocacy groups as well. Coin Center and the DeFi Education Fund recently filed an amicus brief to support Pertsev’s appeal against his money laundering conviction. This brief argues that smart contracts are neutral tools and asserts that penalizing developers could stifle innovation in the open-source community. The ethos surrounding this appeal mirrors the sentiments of Storm’s funding initiative—“privacy is normal, and writing code is not a crime.”

Pertsev was arrested in Amsterdam on August 10, 2022, shortly after the U.S. Treasury Department sanctioned Tornado Cash. His trial began on March 25 and 26, 2024, resulting in a sentence of 64 months for facilitating the laundering of approximately $1.2 billion. He was subsequently released under electronic monitoring on February 7, 2025, pending the outcome of his appeal in s-Hertogenbosch. The legal intricacies surrounding both cases highlight the broader debate about the accountability of developers in the cryptocurrency realm.

In a significant development, the U.S. Treasury’s Office of Foreign Assets Control (OFAC) delisted Tornado Cash’s smart contract addresses on March 21. This decision came after an appeals court ruled that the immutable nature of smart contract code cannot be classified as property and therefore cannot be sanctioned. While this ruling has eased some restrictions on tokens related to Tornado Cash, it does not resolve the ongoing criminal cases against Storm and Pertsev. As the trials continue, the community watches closely, underscoring the importance of defending coding as a legitimate form of expression and innovation in the rapidly evolving world of cryptocurrency.

In summary, the Tornado Cash developers are at a critical juncture, with substantial community support bolstering their legal defenses. As their trials approach, the discussions around developer accountability, privacy rights, and the future of open-source innovation are becoming more pressing. The growing financial backing from influential organizations highlights the recognition of the crucial role developers play in the crypto landscape and the ongoing fight for the right to code without fear of legal repercussions.

With the ever-changing regulatory environment surrounding cryptocurrency, the outcomes of these legal battles could resonate beyond the individual cases. They may ultimately shape how the industry approaches privacy technologies and the responsibilities of developers in crafting solutions that, while capable of misuse, also offer significant potential for positive impact.

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