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One of the co-founder of the cryptocurrency mixing service Tornado Cash, Roman Storm, who had been detained by the US Department of Justice (DOJ) on August 23 on allegations of laundering money and other violations, was shortly released on bail. 
<h2 id="span-style-font-weight-400-crypto-community-is-disappointed-span">Crypto Community is Disappointed&nbsp;</h2> 
On August 24, Storm’s attorney, Brian Klein, <a href="https://twitter.com/brianeklein/status/1694779420731658700?s=20" rel="noopener noreferrer nofollow">posted</a> on X, announcing Storm was officially granted bail. Klein stated that he was nevertheless “very disappointed” by the prosecution’s decision to press charges against the developer solely based on his participation in the software development process.&nbsp; 
<h3 id="span-style-font-weight-400-tornado-cash-co-founder-charges-for-money-laundering-span">Tornado Cash Co-founder Charges for Money Laundering</h3> 
He argued: “Their novel legal theory has dangerous implications for all software developers.” Notably, the developers were charged by the U.S. authority for Tornado Cash operations and reportedly laundering over one billion dollars in “criminal proceeds.” There are further charges for “conspiracy to commit sanctions violations” and “conspiracy to operate an unlicensed money transmitting business.” 
<h2 id="span-style-font-weight-400-detention-of-tornado-cash-dev-alexey-pertsev-span">Detention of Tornado Cash Dev Alexey Pertsev</h2> 
The detention of Tornado Cash developer Alexey Pertsev by Dutch authorities, who was <a href="https://thecoinrise.com/judge-denies-bail-tornado-cash-developer-will-have-to-spend-extra-90-days-in-jail/" rel="noopener noreferrer nofollow">subsequently declined bail,</a> reportedly caused such a stir in the cryptocurrency community that Coinbase decided to support <a href="https://thecoinrise.com/crypto-stakeholders-sues-u-s-treasury-department-for-tornado-cash-sanction/" rel="noopener noreferrer nofollow">a class action lawsuit</a> against the Department to defend users who were subjected to the restrictions.&nbsp; 
In addition to this, The Office of Foreign Assets Control (OFAC) of the United States Treasury Department also imposed <a href="https://thecoinrise.com/tornado-cash-sanctioned-by-u-s-treasury-for-7b-money-laundering/" rel="noopener noreferrer nofollow">sanctions on the mixer, a Tornado Cash</a> Ethereum-based cryptocurrency for the alleged laundering of around $7 billion.&nbsp; 
<h3 id="span-style-font-weight-400-roman-semenov-also-charged-by-us-authorities-span">Roman Semenov also Charged by US Authorities</h3> 
Along with Pertsev and Storm, Roman Semenov is another Tornado Cash developer who has been charged with violating the law. He is one of the co-founders of the Tornado Cash cryptocurrency “mixer,” and as of August 23, he was reportedly added to the OFAC database of Specially Designated Nationals(SDN) and Blocked Persons.&nbsp; 
The bail was authorized the day after the DOJ stated on <a href="https://thecoinrise.com/tornado-cash-co-founders-arrested-by-us-officials/" rel="noopener noreferrer nofollow">August 23 that Storm and Roman</a> Semenov, the creators of Tornado Cash, were officially arrested. Semenov and Storm are both accused of money laundering, participating in sanctions violations, and attempting to run an unlicensed financial-transmitting business, according to a statement released on this Wednesday. 
The post <a rel="noopener noreferrer nofollow" href="https://thecoinrise.com/tornado-cash-co-founder-has-been-released-on-bail/">Tornado Cash Co-founder has been Released on Bail</a> appeared first on <a rel="noopener noreferrer nofollow" href="https://thecoinrise.com">Latest News and Insights on Blockchain, Cryptocurrency, and Investing</a>.

Tornado Cash Co-founder has been Released on Bail

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