The ongoing legal battle between the US Department of Justice (DOJ) and Tornado Cash developer Roman Storm has taken a new turn, as the DOJ has rejected Storm's motion to dismiss the criminal charges against him.

DOJ Disputes Tornado Cash's Characterization

In their motion to dismiss the indictment, Storm's attorneys argued that Tornado Cash is not a custodial mixing service and does not meet the definition of a "financial institution." They also contended that Storm had no control over the service and could not prevent entities like North Korea's Lazarus Group from using it.

However, the DOJ has disputed the defense's characterization of Tornado Cash. The DOJ asserted that the service was announced in 2019 as a mixer and comprised a website, user interface, a combination of smart contracts, and a network of "relayers." They argued that Storm cannot dismiss the indictment based on his own contested view of how the Tornado Cash service operated or his self-serving version of his intent.

DOJ Presents Evidence Against Storm

The DOJ's filing repeatedly referenced evidence that they intend to introduce during the trial, including details about how Storm and other Tornado Cash founders built and developed the system and how people utilized the service. The DOJ provided screenshots and argued that Storm and his co-founders maintained control over the mixer, at least during the time period covered by the charging document (2019 to August 2022).

The Ongoing Legal Battle

Storm, along with fellow developer Roman Semenov, was charged by the DOJ with conspiracy to commit money laundering, conspiracy to operate an unlicensed money transmitter, and conspiracy to violate sanctions laws through the creation and operation of Tornado Cash. Storm is scheduled to stand trial in September, while Semenov remains at large.

Seeking Support from the Community

Earlier this year, Storm sought support from right-to-privacy advocates in anticipation of his upcoming criminal trial. He stated that his legal team was preparing a strong defense, and that the case would set a major precedent for years to come. However, a crowdfunding campaign on GoFundMe intended to collect legal fees for Storm and Pertsev was canceled due to a breach of the platform's terms of service.

As the legal battle continues, the outcome of this case will have significant implications for the future of cryptocurrency development and the ongoing debate around privacy and financial regulations. The DOJ's challenge to Storm's defense highlights the high stakes involved in this high-profile case.