US cryptocurrency industry may suffer from prosecution of Tornado Cash crypto mixer developers

The US is preparing for a second trial in the case of Tornado Cash developer Roman Storm. Prosecutors informed the court on March 9 that they plan to hold a second trial on charges of conspiracy to launder money and violation of sanctions laws. The start of the new trial is proposed for October.

Storm was already found guilty in August 2025 for running an unregistered money transfer business related to the operation of the Tornado Cash crypto mixer. At the same time, the jury could not reach a consensus on the other two charges, and they will now be subject to retrial.

The case is based on the government’s allegations that Tornado Cash was used to process more than $ 1 billion in illegal funds. According to the investigation, hacker groups linked to North Korea were among the users.

The decision to repeat the process has drawn criticism in the crypto community. Experts point to legal and technical weaknesses in the case, and warn that the prosecution could negatively affect the US position in the global crypto industry.

Against this backdrop, the US Treasury Department reminds that cryptomixers have legal applications, ranging from protecting personal finances to ensuring the confidentiality of business payments and donations. The discussion around Tornado Cash is part of a broader debate about the balance between financial privacy and anti-money laundering.