Defi Education Fund Advocates Trump to Drop DOJ's Tornado Cash Litigation Against Roman Storm
Crying Foul: DeFi Education Fund Lobbies Trump Against Tornado Cash Developer Prosecution
In an unprecedented move, the DeFi Education Fund, a leading research and advocacy group, has fired a broadside at the Trump administration, asking President Trump to halt the ongoing prosecution of Roman Storm, co-founder of Tornado Cash. The plea was made in a letter penned down to White House crypto czar David Sacks on April 28.
The group accuses the Biden-era Department of Justice of launching a "lawless campaign" to criminalize open-source software development, asserting that Storm's case is part of a wider overreach that jeopardizes the core of U.S. technological innovation.
Storm, currently embroiled in a legal tangle since August 2023, stands accused of aiding in the laundering of over $1 billion through Tornado Cash, a popular cryptocurrency mixer. He faces charges that could see him behind bars for up to 45 years if found guilty.
But, Storm and his team argue that Tornado Cash is an immutable, open-source protocol over which they have no control. Last year, Storm filed a motion to dismiss all charges, but Judge Katherine Polk Failla denied it in September 2024. A subsequent reconsideration plea was also turned down in February 2025.
The DeFi Education Fund contends that the Department of Justice is pushing an "unprecedented theory" by attempting to hold developers liable for how others use their code, even when they have no control over third parties or user assets. They warn that this legal approach could stifle open-source development, freezing it completely.
Intriguingly, the group points out that Storm's prosecution seems to contradict earlier Treasury Department guidance issued during Trump's first term. This guidance clarified that developers of self-custodial, peer-to-peer protocols are not considered money transmitters under federal law, a stance the industry has relied on since 2019.
However, the DeFi Education Fund's plea hasn't received a response from President Trump or the White House as of yet. The continuing prosecution of Storm, coupled with the ongoing debate about the legal status of cryptocurrency mixing services and the liability of open-source software developers, underlines the complexity of regulatory issues in the cryptocurrency sector.
Meanwhile, the petition has garnered support from influential figures in the industry, including Ethereum core developer Tim Beiko, Paradigm co-founder Matt Huang, and Bankless co-founder Ryan Sean Adams, among others.
[1] Developers and the Liability Conundrum in Cryptocurrencies[2] Can Open-Source Code Lead to Jail Time? The Roman Storm Controversy Explained[3] The Tornado Cash Case: Balancing Regulation and Innovation in the Cryptosphere
- The DeFi Education Fund urges President Trump to reconsider his administration's stance on the prosecution of Roman Storm, co-founder of Tornado Cash, suggesting a legal conundrum for cryptocurrency developers.
- The cryptocurrency industry relies on the 2019 Treasury Department guidance that absolves developers of self-custodial, peer-to-peer protocols from being considered money transmitters under federal law.
- The DeFi Education Fund argues that if Storm's prosecution continues, it could have far-reaching implications for open-source development in the crypto space, potentially stifling innovation.
- In 2025, the DeFi Education Fund petitioned White House crypto czar David Sacks, appealing against the DOJ's investigation into Roman Storm and the wider implications for the cryptocurrency industry.
- The case of Roman Storm, co-founder of Tornado Cash, is a prominent example of the ongoing debate about the liability of developers for open-source code usage, a debate that intertwines with politics, technology, business, general-news, and crime-and-justice.
- In the general-news landscape, the Roman Storm controversy highlights the intricate relationship between cryptocurrency, open-source software development, and potential legal ramifications.
- The meteoric rise of DeFi (decentralized finance) and DEX (decentralized exchange), combined with the increasing use of crypto (cryptocurrency) in the broader business world, brings to light challenging regulatory issues such as those faced by developers like Roman Storm.
- In the realm of artificial finance, the case of Roman Storm raises questions about the responsibilities and liabilities of developers in relation to their code and its implications in a decentralized economy.
- As the cryptocurrency sector evolves, the story of Roman Storm serves as a warning, demonstrating the delicate balance between innovation, regulation, and justice in an industry built on open-source technology, such as blockchain and Ethereum.
