Crypto Code on Trial? DeFi Group Urges Trump to End DOJ Case Against Tornado Cash Dev

A prominent crypto advocacy group, the DeFi Education Fund, is pushing the Trump administration to halt the ongoing legal proceedings against Tornado Cash co-founder Roman Storm.

In an April 28 communication addressed to White House advisor David Sacks, the organization called for decisive action to cease what it termed the Department of Justice’s “lawless campaign” targeting open-source software development, initiated under the previous administration.

The group contends that the prosecution of Storm represents a significant governmental overstep, potentially jeopardizing the future of technological progress in the United States.

Storm faces serious allegations brought forth by the DOJ in August 2023, accusing him of involvement in laundering over $1 billion via the Tornado Cash crypto mixing service. The charges include conspiracy to commit money laundering, operating an unlicensed money transmitter, and violating sanctions.

If found guilty, Storm could face a maximum combined sentence nearing 45 years. His legal team previously attempted to have the charges dismissed, arguing Tornado Cash operated as an immutable, open-source protocol outside his direct management.

However, this motion was denied by U.S. District Judge Katherine Polk Failla in September 2024, allowing the case to proceed. A subsequent request for reconsideration was also turned down in February 2025.

The DeFi Education Fund’s letter criticizes the DOJ for advancing a novel legal theory that holds software developers accountable for the misuse of their code by unrelated third parties, even when developers lack control over user actions or assets.

They assert this approach poses a direct threat to the open-source community, potentially halting development due to legal uncertainties. This situation highlights the ongoing tension surrounding crypto regulation and its potential impact.

The Fund also highlighted an apparent contradiction with Treasury Department guidance issued during Trump’s first term, which suggested developers of non-custodial, peer-to-peer systems were not typically classified as money transmitters.

“We in the blockchain industry have relied on that guidance in good faith since 2019,” the letter emphasized, suggesting the current prosecution undermines established expectations.

Beyond Storm’s specific situation, the letter warns the DOJ’s stance could foster politically driven enforcement actions, creating risk for any open-source developer.

The advocacy group argues that innovation across fintech, AI, and healthcare could suffer if creators fear prosecution based on how others utilize their tools. “No one writing code in good faith should have to fear prosecution for the actions of strangers,” they stated.

Protecting software developers is crucial, they argued, to achieve aspirations of establishing the U.S. as a global hub for crypto and blockchain technology.

“We ask President Trump to protect American software developers, restore legal clarity, and end this unlawful DOJ overreach,” the group concluded, underscoring the high stakes for American innovation.

The petition has garnered considerable support, reportedly collecting over 253 signatures from figures within the crypto and tech space, including Ethereum’s Tim Beiko and Paradigm’s Matt Huang.

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