Ethereum Foundation Provides Financial Support to Tornado Cash Co-Founder for Upcoming Legal Appearance, Donating $500,000
Roman Storm, the co-founder of Tornado Cash, was found guilty on August 6, 2025, of conspiracy to operate an unlicensed money transmitting business related to Tornado Cash. However, the jury was unable to reach a unanimous decision on the more serious charges of money laundering and sanctions violations, resulting in a partial mistrial on those counts [1][2][3].
The verdict comes amidst the sanctions imposed by the US Department of the Treasury's Office of Foreign Assets Control (OFAC) on Tornado Cash in August 2022, for failing to impose effective controls to prevent money laundering [2]. As a result, Tornado Cash was linked to the North Korea-linked hacking group, Lazarus Group, which used the platform to launder $455 million [4].
Following the verdict, Storm remains free on bail, with the court rejecting prosecutors’ request to remand him due to concerns about flight risk, citing his strong U.S. ties and compliance with bail terms [1][2]. The sentencing for the unlicensed money transmitting conviction, which carries a maximum sentence of up to five years, is pending [1][2].
If either Storm or the government is unhappy with the outcome, an appeal is likely. The government could seek a retrial on the deadlocked major charges of money laundering and sanctions conspiracy [1][2][5]. A federal court in the Southern District of New York has granted a procedural extension, delaying post-trial motions and any potential retrial until at least December 2025, allowing time for defense review and strategy refinement [5].
The appeal may focus on challenging the unlicensed money transmitting conviction or addressing jury deadlock issues, but no specific appeal filings or outcomes have been publicly disclosed as of August 17, 2025. The extended timeline into late 2025 reflects the complexity of the case and its significance for the regulatory landscape of crypto privacy tools [5][3].
In a show of support, the Ethereum Foundation has pledged to donate up to $500,000 to support Storm's legal defense [6]. The funds are needed for the trial court and appeal proceedings, as the outcome will set a major precedent for developers worldwide.
In conclusion, the appeal process for Roman Storm's case is in its preliminary phase, with no immediate court decision announced. Possible outcomes include appellate review of the conviction, a retrial on the deadlocked charges, or plea negotiations. The significance of this case for the crypto industry and its regulatory landscape cannot be overstated.
References:
- CoinDesk
- Bloomberg
- Decrypt
- The Block
- Reuters
- The Block
- The outcome of Roman Storm's appeal will likely impact the regulatory landscape for crypto privacy tools, given the complexity of the case and the public interest it has garnered.
- If either party is dissatisfied with the verdict, an appeal might focus on contesting the unlicensed money transmitting conviction or addressing issues related to the jury deadlock.
