Tornado Developer Alexey Pertsev Sentenced to Five Years and Four Months, Cryptocurrency Developers Facing Challenges?
Since August 2022, Tornado Cash has been involved in a series of regulatory events, causing significant controversy in the cryptocurrency field. Developer Alexey Pertsev has been in prison and under house arrest for over 280 days. The outcome of this lawsuit may also pose a threat to open-source developers in the cryptocurrency space in the future.
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Tornado Developer Alexey Pertsev Faces 64-Month Sentence
According to CoinDesk, Dutch prosecutors have revealed that Tornado Cash developer Alexey Pertsev is facing a 64-month prison sentence for money laundering.
The indictment accuses Alexey Pertsev of laundering over $1.2 billion through the Tornado protocol between July 2019 and August 10, 2022.
After a two-day trial in court, the judge is set to deliver the final verdict on May 14.
Dutch Authorities Prosecute Tornado Cash Developer for Laundering Over $1.2 Billion: Members Profited from Scheme
Tornado Cash Mixing Protocol Regulatory Events
Since August 2022, Tornado Cash has been embroiled in a series of regulatory events, sparking controversy in the crypto space, with developer Alexey Pertsev having been in prison or under house arrest for over 280 days.
The outcome of this lawsuit may pose a threat to open-source developers in the crypto space in the future. The events unfolded as follows:
August 8, 2023: Tornado.cash added to the U.S. Office of Foreign Assets Control (OFAC) sanctions list
August 12, 2023: Developer Alexey Pertsev arrested
August 20, 2023: Pools and protocols begin cooperating with reviews, halting processing of related transactions
September 14, 2023: U.S. Treasury Department responds, agreeing to consider individual transactions, stating that user transactions not involving sanctioned activities can apply for the release of frozen funds
April 2023: After an eight-month ordeal, Tornado Cash developer reportedly released from custody and under house arrest, resulting in over a 30% increase in TORN price
In addition to the Dutch trial, the U.S. Department of Justice also filed charges last year against Tornado Cash co-founders Roman Semenov and Roman Storm.
Roman Semenov has been arrested by the FBI and IRS Criminal Investigation Unit, while Roman Storm remains at large.
Tornado Cash Co-Founders Arrested, U.S. DOJ: Indirectly Assisted North Korea in Nuclear Development
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