US prosecutors are seeking a retrial for Tornado Cash co-founder Roman Storm on two charges where a jury failed to reach a unanimous verdict last year.
Manhattan U.S. Attorney Jay Clayton filed a notice to Federal Judge Katherine Polk Failla requesting that the court set a potential retrial window between October 5 and October 12. According to the filing, the parties estimate the trial would last about three weeks.
Prosecutors initially indicated they were ready to begin the trial earlier in the year, between March and May. However, Storm’s legal team told the court that their schedule remains fully occupied with other matters until the end of 2026.
The retrial request follows a previous verdict in August when jurors found Storm guilty of conspiracy to operate an unlicensed money transmission business. However, the jury was unable to reach a decision on two other counts, leaving prosecutors the option to pursue another trial.
Charges against Roman Storm remain unresolved
The potential retrial focuses on two accusations: conspiracy to commit money laundering and conspiracy to violate sanctions.
Storm has consistently denied the allegations. In October 2025, he filed a motion asking the court to acquit him of the conviction related to operating an unlicensed money transmission business. His lawyers argued that prosecutors failed to demonstrate that he intended to assist illicit activity conducted through Tornado Cash.
In the filing requesting a retrial date, Clayton acknowledged that Storm’s legal team believes scheduling a new trial is premature because the court has not yet ruled on the pending motion for acquittal. That hearing is scheduled for early April.
Storm warns charges could mean decades in prison
Storm has also publicly addressed the case on the social media platform X. He said the remaining charges could expose him to up to 40 years in federal prison.
He added that the previous jury was unable to agree on whether a crime occurred, but prosecutors are attempting another trial in hopes of a different outcome.
Amanda Tuminelli, chief legal officer at the crypto advocacy group DeFi Education Fund, criticized the Justice Department’s decision to seek a retrial. She described the move as “extremely disappointing,” arguing that prosecutors failed to persuade the jury during the first trial.
Storm has also pointed to what he sees as a contradiction within the Justice Department. In April 2025, Deputy Attorney General Todd Blanche issued a memorandum stating that the department “is not a regulator of digital assets” and would no longer pursue prosecutions that effectively impose regulatory frameworks on the industry.
The case is unfolding amid broader policy debates about crypto privacy tools. In the same month as Blanche’s memo, the U.S. Treasury Department released a report to Congress acknowledging that crypto mixers can have legitimate uses, including protecting consumer transaction privacy.
Why the case could affect the entire crypto industry
Legal experts say the outcome of Storm’s case could have far-reaching implications for software developers working on decentralized protocols.
Historically, there have been few cases where an open-source developer faced criminal liability for how third parties used software they created. The Tornado Cash case therefore raises a fundamental legal question about where the line lies between building a tool and being responsible for its misuse.
The court’s answer could influence how regulators and prosecutors approach developers of decentralized financial tools and privacy technologies in the future.
With prosecutors pushing forward and key motions still pending, the case is likely to remain a focal point in the ongoing debate over crypto regulation, privacy, and developer responsibility in the United States.
Source: https://coinpaper.com/15308/tornado-cash-founder-faces-new-trial-as-us-prosecutors-refuse-to-drop-charges
