Proceedings against Roman Storm in the Tornado Cash case, however, continue toward a new trial
FinCEN withdrew a 2023 proposal that would have designated international convertible virtual currency mixing as a class of transactions of primary money laundering concern under Section 311 of the Patriot Act. It also withdrew a December 2020 proposal on identification and recordkeeping for transfers exceeding $3,000 involving non-custodial wallets or foreign platforms.
The proposals had never been finalised. Their withdrawal therefore does not change existing anti-money-laundering and customer-verification obligations for exchanges.
Within one day of the withdrawal, prosecutors for the Southern District of New York filed an October 5 letter to support venue for two remaining charges against Roman Storm, co-founder of Tornado Cash. They cited the appellate decision in United States v. Sterlingov and testimony that depositor Shakeeb Ahmed had used Tornado Cash from his Manhattan apartment.
Storm was convicted in August 2025 of conspiracy to operate an unlicensed money-transmitting business. The jury did not reach a verdict on the money-laundering and sanctions-evasion charges; the retrial is scheduled for April 26, 2027.
