Tornado Cash defense claims prosecutors misled court on legal issues involving crypto mixers

Mars Finance News: The defense lawyer for Tornado Cash co-founder Roman Storm accused U.S. federal prosecutors of misleading the court on the legal application of non-custodial crypto mixers, claiming that the prosecution failed to disclose key communications with the Financial Crimes Enforcement Network (FinCEN). These communications could potentially undermine the government's core allegations that Tornado Cash was operating as an unlicensed money transfer business. Storm's defense cited details revealed in a case related to Samourai Wallet developers, emphasizing that FinCEN previously stated Samourai Wallet might not meet the definition of a money services business due to not holding user funds. Given that Tornado Cash is also a non-custodial protocol, the defense argues that the same stance should apply. Currently, Roman Storm's legal team has requested that the court compel the government to disclose all communications with FinCEN and provide materials related to the Samourai Wallet case, with the trial expected to begin on July 14. (DL News)