The US Treasury advised Congress this month that crypto mixers have authentic makes use of — together with defending shopper privateness.
Days later, federal prosecutors in Manhattan moved to place the person who constructed one of many most-used mixers again on trial.
A Cut up Jury, A Second Likelihood
Manhattan US Lawyer Jay Clayton filed a letter Monday asking federal Decide Katherine Polk Failla to schedule a retrial for Roman Storm, co-founder of Twister Money, on two counts the place jurors deadlocked final 12 months.
Clayton’s workplace is pushing for trial dates between October 5 and 12, with proceedings anticipated to run three weeks.
Prosecutors stated they have been able to go as early as spring, however Storm’s protection workforce indicated they wouldn’t be accessible till late 2026.
DOJ has determined it is going to retry Roman Storm within the fall. Regardless of failing to persuade a jury the primary time round, regardless of making apparent errors like calling irrelevant witnesses and never understanding the forensic evaluation of their very own blockchain proof, and regardless of a number of… pic.twitter.com/MRZDHAugT8
— Amanda Tuminelli (@amandatums) March 10, 2026
Final August, a jury convicted Storm on one rely — conspiring to run an unlicensed cash transmitting enterprise — however couldn’t attain a unanimous resolution on the opposite two: conspiracy to commit cash laundering and conspiracy to violate sanctions.
A hung jury doesn’t rely as an acquittal, which leaves prosecutors free to strive once more. Storm has since requested Decide Polk Failla to throw out even the conviction, arguing the federal government by no means proved he meant to assist unhealthy actors launder cash by means of the platform.
Crypto Crime: 40 Years On The Line
The stakes are extreme. Storm posted on X {that a} conviction on each retried counts might ship him to federal jail for as much as 40 years.
He described his alleged offense bluntly: writing open-source code for a protocol he doesn’t management, involving transactions he by no means personally dealt with.
🚨NEW: The DOJ has requested to retry @TornadoCash co-founder @rstormsf on the 2 counts the jury held on within the first trial: cash laundering and sanctions violations.
Prosecutors proposed an early October retrial date, whilst Storm’s Rule 29 movement to overturn his conviction on… https://t.co/0zX4hemook
— Eleanor Terrett (@EleanorTerrett) March 10, 2026
“A jury already couldn’t agree this was prison,” Storm wrote. “However the SDNY prosecutors wish to preserve making an attempt with the hope of getting a distinct reply.”
Amanda Tuminelli, authorized chief at crypto advocacy group the DeFi Schooling Fund, referred to as the retrial resolution “extremely disappointing.”
She pointed to what she described as prosecutorial missteps throughout the first trial — irrelevant witnesses, a weak grasp of the blockchain forensics on the middle of the case, and what she referred to as flawed authorized reasoning round third-party developer legal responsibility.
The Memo That Didn’t Maintain
Storm additionally raised a pointed contradiction. In April, Deputy Lawyer Common Todd Blanche issued a memo stating the Justice Division “is just not a digital belongings regulator” and would cease pursuing circumstances that successfully impose regulatory frameworks on crypto.
Storm famous that the identical DOJ is now looking for his retrial anyway.
“Identical nation, identical DOJ,” he wrote. “Simply filed to retry me anyway.”
Reviews point out Clayton’s letter was filed the identical week the Treasury Division’s congressional report acknowledged that some individuals use crypto mixers for fully lawful functions, together with retaining their spending habits non-public.
Whether or not that acknowledgment will issue into Storm’s protection stays to be seen. His acquittal movement is scheduled for argument in early April, and a ruling is predicted earlier than any retrial date is ready.
Featured picture from Unsplash, chart from TradingView
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