Published on oktober 6, 2024, 12:26 am
Image source: Fox News
```json [ "The US sanctioned Tornado Cash for alleged money laundering in 2022, causing a stir in the crypto community.", "Ethereum co-founder Vitalik Buterin donated 100 Ether worth $240,000 to support Tornado Cash developer Roman Storm's legal defense fund.", "Storm faces legal challenges after Judge Katherine Failla denied his motion for dismissal on September 26, 2024.", "Not guilty plea maintained due to Tornado Cash being open-source without developer control. Charges could lead to 45 years in jail.", "JusticeDAO raised over 654 ETH (around $1.5 million) to aid Tornado Cash developers amidst legal issues.", "Despite sanctions, deposits in Tornado Cash increased to $1.9 billion in the first half of 2024, limited by regulatory barriers but still popular through pseudonymous wallet addresses." ] ```
The United States Office of Foreign Assets Control has recently sanctioned the Tornado Cash mixer, citing allegations of facilitating money laundering activities. This move in 2022 has stirred up a significant ripple in the cryptocurrency community.
In a notable display of solidarity and support, Ethereum co-founder Vitalik Buterin contributed another 100 Ether, valued at around $240,000, to assist Tornado Cash developer Roman Storm with his legal defense fund. This marks the third time that Buterin has shown his support for the cause, reflecting the unity within the crypto space.
Despite facing legal challenges, with Judge Katherine Failla denying Storm’s motion for dismissal on September 26, 2024, Storm remains resolute in pleading not guilty. He emphasizes that Tornado Cash is open-source and accessible to all users without control from its developers. The potential consequences of conviction on all charges could result in a substantial jail term of up to 45 years, an outcome that has catalyzed widespread support from the cryptocurrency community.
An initiative by JusticeDAO emerged in June 2024 to raise funds for the embattled developers of Tornado Cash. Remarkably, over 654 ETH was sourced amounting to over $1.5 million at prevailing market rates, highlighting the solidarity and determination within the crypto sphere.
Notably, despite regulatory sanctions and legal pressures from US authorities, Tornado Cash saw deposits soar to approximately $1.9 billion in the first half of 2024 alone—an impressive surge compared to previous records. These restrictions impacted users intending to transact through compliant exchanges but left avenues open for pseudonymous wallet addresses accessible via demand-generated creation.
As this saga unfolds within the cryptocurrency landscape, it underpins both challenges and resilience faced by developers like Roman Storm amidst evolving regulatory landscapes governing digital assets.
Amidst these developments stands a testament to perseverance and innovation within the crypto world as it navigates through turbulent waters towards building safer and legally compliant models such as with initiatives like “Tornado Cash 2.0: The race to build safe and legal coin mixers.”
Original article posted by Fox News
