Ethereum Foundation Matches $500K for Tornado Cash Defense
Tornado Cash developer Roman Storm has received a surge in donations for his legal defense fund after a partial jury verdict. The jury deadlocked on money laundering and sanctions-violation charges but convicted him under Section 1960 for operating an unlicensed money transmitter. The Ethereum Foundation pledged to match contributions up to $500,000, boosting support. His team plans to appeal the Section 1960 verdict and await the DOJ’s decision on retrying the two hung counts. Experts Aaron Brogan and Brandon Ferrick anticipate an appeal over Section 1960’s application and expect the DOJ to forgo retrial on laundering charges. Storm initially set a $1.5 million fundraising goal to cover rising legal costs. Industry leaders warn this case could shape future legal risks for open-source, privacy-focused DeFi and blockchain projects, making it a key watchpoint for crypto traders tracking developments around Tornado Cash.
Bearish
Ongoing legal uncertainty around Tornado Cash’s developer and the Section 1960 conviction is likely to weigh on TORN token sentiment. The Ethereum Foundation’s $500,000 matching pledge offers some offset but does not remove regulatory risk. Traders may remain cautious, leading to muted trading in the short term. In the long term, a clear resolution or regulatory outcome could stabilize price, but current legal developments sustain bearish pressure.