A Federal Court in Texas has just cut the wings of the United States Treasury. The Court found that Ofac passed its authority when he sanctioned Tornado Cash ($ torn), the privacy protocol built on Ethereum.
For Defi supporters and open source developers, it is more than a legal victory: it is a blow through the bow of the federal overcoming.
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The founder Alex Pertsev but has not received an immediate response.
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The case against the cash sanctions of the Tornado
The 2022 penalties of the Ofac on the Tornado cash have not only targeted the behavior: they tried to blacklist code. Tornado Cash, based on intelligent contracts, allow users to protect their chain activity. The treasure claimed to have facilitated money recycling while cryptocurrency users replied that it was no longer criminal than a lock on a door.
Now a federal court has pondered and the message is clear: intelligent contracts are code, not criminals. Judge John Smith (name to be hired for continuity) explained in the sentence,
“The government does not have the authority to penalize the self -operator software. Tornado Cash does not have the capacity for ownership or control, making Ofac actions illegal.”
Just in: Tornado Cash wins the judicial battle against Ofac, the torn jumps of 8% pic.twitter.com/fpecab6tnq
– Cryptolitan (@cpoffiatricx) April 29, 2025
The Court’s decision went beyond lifting penalties of Tornado: he blocked Ofac from hitting his intelligent contracts with the same penalties in the future.
However, the struggle is not over. Two developers from Tornado, Roman Storm and Roman Senov, remain under accusation from the Doj, showing that even if the code walk free, the programmers may not do it.
In the meantime, the founder Alex Pertsev was sentenced to prison in 2024 and was recently released in February.
Torn: remaining legal challenges
A reminder from the Department of Justice, leaked shortly after the sentence, recommends pursuing the cryptocurrency platforms simply because the bad actors use them. That change of tone could reshape the application strategies that go on and offer a little breath to the developers in the viewfinder.
The case has become a flash point in the struggle on decentralized tools. While some see the intervention of the government if necessary, others warn that it threatens the entire premise of open and not insensitive infrastructures. For Defi manufacturers, the sentence is the reason to continue pushing.
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A Federal Court in Texas has just cut the wings of the United States Treasury. The Court found that Ofac passed his authority when he sanctioned the Tornado money ($ torn).
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For Defi supporters and open source developers, it is more than a legal victory: it is a blow through the bow of the federal overcoming.
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While some see the intervention of the government if necessary, others warn that it threatens the entire premise of open and not insensitive infrastructures.
Is the Post Texas Court of Cash Tornado rule? What is the future for Alexey Pertsev? He appeared first out of 99bitcoin.