Solana Policy Institute donates $500K for Roman Storm’s defence in Tornado Cash trial

Solana advocacy group, the Solana Policy Institute, has donated $500,000 to support Tornado Cash co-founder Roman Storm’s defence as he faces charges of operating an unlicensed money transmitter.

The $500,000 donation, announced by the group on Thursday, brings the total funds raised for Storm’s legal defence to over $5.5 million.

According to data from the official Roman Storm defence fund page, Storm’s defence campaign remains roughly $1.5 million short of its $7 million goal.

Fund organizers have described Storm’s appeal as time-sensitive, and have warned that without adequate resources, Storm could face up to five years in prison based on his single conviction, or significantly more if prosecutors pursue two additional charges.

Roman Storm convicted

Storm’s legal troubles escalated on Aug. 6, when a jury in New York found him guilty of operating an unlicensed money-transmitting business through Tornado Cash, the Ethereum-based privacy protocol he helped build. 

However, the jury failed to reach a unanimous verdict on two charges, including conspiracy to commit money laundering and conspiracy to violate US sanctions.

Those deadlocked counts remain open, and prosecutors could still bring them back to court.

The trial was focused on whether Storm knowingly enabled illegal activity by allowing Tornado Cash to be used by sanctioned entities such as North Korea’s Lazarus Group, which is known to have laundered millions worth of illicit funds via the cryptocurrency mixer. 

Prosecutors have constantly argued that Tornado Cash developers knew their platform could be misused, therefore, they urged the Jury to hold Storm responsible. 

On the other hand, lawyers representing Storm, in his defence, claim that Tornado Cash operated as autonomous, immutable code that was beyond the reach or control of its developers. 

A number of jurors reportedly struggled with the idea of convicting someone for code they no longer had the power to alter, ultimately leading to the split verdict.

The same idea has resonated among Storm’s supporters, who continue to argue that prosecuting developers for writing open-source software poses serious risks to the future of innovation.

Many have warned that such prosecutions could deter developers from building privacy tools or contributing to decentralized protocols altogether, for fear that they might one day be held criminally liable for how their code is used.

“The allegations underlying these convictions are based on a fundamental misunderstanding of how blockchain technology works,” the Solana Policy wrote in its announcement.

“If the government can prosecute developers for creating neutral tools that others misuse, it fundamentally changes developers’ risk calculus,” the group added, warning that it could lead to an exodus of talent towards jurisdictions more welcoming to open-source innovation.

Crypto community comes together to support Storm

Storm’s fundraising appeal has united much of the crypto developer ecosystem. 

Notable donations have come from both major blockchain foundations and individual contributors who see the case as a turning point for open-source development and privacy rights.

For instance, in July, Ethereum co-founder Vitalik Buterin donated a total of 150 ETH across two separate transactions, amounting to more than $670,000 at current prices. 

Around the same time, Julian Zawistowski, founder of the Golem Project, confirmed a contribution of 50 ETH, valued at over $224,000.

Ethereum core developer Federico Carrone, who had to face his own share of legal troubles earlier this year in Turkey over privacy tech affiliations, also contributed $500,000 on Aug. 11 in a show of solidarity.

One of the earliest and most substantial contributions came in January from crypto investment firm Paradigm, which committed $1.25 million to aid the cause. 

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