The Ethereum Foundation has committed up to $1 million in matching funds to support Tornado Cash developer Roman Storm’s legal defense amid ongoing litigation surrounding the privacy protocol. This initiative highlights institutional backing for privacy rights within cryptocurrency ecosystems.
Tornado Cash, a decentralized Ethereum-based privacy tool, was accused by U.S. authorities in 2022 of facilitating illicit financial activities. The protocol allegedly enabled money laundering and sanctions violations through its transaction-obscuring functionality.
Storm faces legal challenges following a partial conviction in his recent trial, with preparations underway for an appeal. The U.S. Department of Justice is reportedly considering retrying the developer on unresolved charges related to the case.
The foundation’s financial intervention spotlights broader industry debates regarding developer liability and the legal status of privacy-enhancing technologies in decentralized finance. This support signals significant institutional concern about potential precedents affecting blockchain innovation.