Tornado Cash Defense Claims Prosecutors Misled Court on Legal Issues Involving Crypto Mixer

Defense attorneys for Tornado Cash co-founder Roman Storm have accused U.S. federal prosecutors of misleading the court on the legal applicability concerning the non-custodial crypto mixer, claiming that the prosecution failed to disclose key communications with the Financial Crimes Enforcement Network (FinCEN) that could undermine the government's core allegations of Tornado Cash operating as an unlicensed money transmission business. Roman Storm's defense cited details disclosed in a case related to Samourai Wallet developers, highlighting that FinCEN had indicated that Samourai Wallet might not meet the definition of a money services business due to not holding user funds. Given that Tornado Cash is also a non-custodial protocol, the defense argues that this position is equally applicable.
Currently, Roman Storm's legal team is requesting the court to compel the government to disclose all communications with FinCEN and provide materials related to the Samourai Wallet case, with the trial expected to begin on July 14. (DL News)