Tornado Cash co-founder Roman Storm, convicted on one felony count in August, may avoid retrial on additional charges after a DOJ official hinted at new enforcement approaches towards crypto and blockchain at a Wyoming summit organized by the American Innovation Project.
The DOJ official emphasized a change in approach following a memo titled “Ending Regulation by Prosecution” by US Deputy Attorney General Todd Blanche, indicating a shift towards more even-handed enforcement in cases related to unlicensed money transmitter businesses.
Galeotti clarified that writing code without ill intent is not a crime and emphasized prosecuting those knowingly committing crimes like fraud and money laundering, signaling a shift away from indictments as a regulatory tool in the digital asset industry.
Storm, indicted for money laundering and operating an unlicensed money transmitter, was found guilty of one charge, with a deadlocked jury on other counts. His sentencing is pending, and the DOJ’s potential retrial approach could impact cases involving digital assets in the future.
The Justice Department’s new stance suggests that developers like Storm contributing code to open-source projects without intent to aid criminal activities should not face criminal liability, signaling a more technology-neutral approach to enforcement to target bad actors while avoiding unwitting regulatory violations.
Variant chief legal officer Jake Chervinsky called for dropping Storm’s case following the DOJ’s guidance shift, indicating potential changes in enforcement cases impacting developers in the digital asset industry. The American Innovation Project summit attendees welcomed the new approach favoring innovation and clarity in enforcement.
Read more at Cointelegraph.com
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