Tornado Cash co-founder's defense intends to seek termination of the trial
Date: 2025-07-23 Author: Henry Casey Categories: BUSINESS
The reason for this step was the testimony of witnesses, which, according to the lawyers, are not directly related to the charges against their client. In particular, the version of Hanfeng Li, who claimed that in 2021 she lost about $250 thousand due to scammers, was challenged. The woman said that the criminals convinced her to transfer bitcoins to a fake trading platform, promising a high income.
In an attempt to return the stolen funds, Li contacted the Payback service, whose representatives said that part of the money went through Tornado Cash. Storm's defense, however, emphasized the lack of convincing evidence of such a connection.
During the interrogation, FBI expert Joseph DeCapua admitted that he did not actually check the transactions related to the witness. Prosecutors, in turn, announced their intention to call IRS analyst Stefan George to confirm Tornado Cash's involvement in the transfer of Lee's funds.
Federal Judge Katherine Polk Failla noted the difficulties in organizing the process and the lack of communication between the parties. She said: "I handle a lot of criminal cases, but I have never seen such chaos in communication."
If the court satisfies the defense's motion, the process will be completed early. Otherwise, the case may be reviewed again with a different judge and a new jury, taking into account possible procedural errors.
In parallel with the trial, an independent investigation is being conducted in the crypto community. Taylor Monahan, MetaMask's chief security officer, analyzed Lee's transactions and found no connection to Tornado Cash.
She emphasized that the addresses to which the funds were sent were not marked by the authorities as being involved in crimes or illegal transactions. The funds were not frozen or returned, which raised questions about the operation of the Payback service. According to her, “I don’t understand what exactly the Payback team was tracking, because Tornado Cash is not there.”
Renowned on-chain analyst ZachXBT supported Monahan’s findings and criticized Payback’s activities.
The trial of Roman Storm began on July 14, 2025. The defendant himself stated a critical lack of funds for his defense and began an urgent collection of $1.5 million. Storm is accused of conspiracy to launder money, violating US sanctions, and conducting unlicensed activities. The charges carry a maximum penalty of up to 45 years in prison.
The case attracts the attention of not only legal authorities, but also the crypto community, as it raises questions about the legality of mixers and the role of Tornado Cash in financial crimes.
