Vitalik Buterin Backs Tornado Cash Legal Defense

Vitalik Buterin Backs Tornado Cash Legal Defense

By Jakub Lazurek

07 Oct 2024 (3 months ago)

2 min read

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Vitalik Buterin donates 100 ETH to support Tornado Cash developers in their legal fight, following criticism over its use for money laundering.

Vitalik Buterin, co-founder of Ethereum, has made headlines by donating 100 ETH to support the legal defense of Tornado Cash developers. This donation follows a recent sell-off of memecoins from his personal holdings, attracting attention across the crypto community.

According to reports, Buterin sold various memecoins such as Neiro, MOONDENG, DEGEN, and KABOSU, as well as USDT tokens donated by the CATE project, exchanging them for ETH. After completing these transactions, he contributed 100 ETH to the defense fund for Alexey Pertsev and Roman Storm, who are currently facing legal issues.

This latest contribution is not Buterin’s first show of support for the developers. Earlier in the year, he donated 30 ETH to the same cause, demonstrating his ongoing commitment to backing the Tornado Cash team amid regulatory scrutiny.

Tornado Cash, a decentralized platform, mixes crypto assets to obscure transaction histories, making it a target for authorities. US officials have accused the platform of enabling money laundering and aiding criminal activities. Since its launch, the service has reportedly been used for large-scale money laundering.

The platform’s founders, Pertsev and Storm, are currently involved in legal battles. Pertsev is serving a five-year sentence in the Netherlands, while Storm is awaiting trial in the United States. The location of the third co-founder, Roman Semenov, remains unknown.

Buterin’s donation sparked debate about whether it was directly linked to the profits he made from his recent memecoin sales, but his history suggests a consistent pattern of using such funds for charitable causes. In the past, he has donated ETH proceeds to various non-profit initiatives, including an animal welfare fund.

Despite the controversies, Tornado Cash continues to receive significant support from the crypto community. Entities such as Matter Labs and the Uniwao DAO have contributed large donations to the defense fund, indicating widespread concern over the legal repercussions for developers if the government wins the case.

For many in the crypto world, the outcome of these legal battles could shape the future of decentralized platforms and developer rights. A government victory could set a precedent that restricts developers from creating or supporting similar protocols, raising concerns over the freedom to innovate in the blockchain space.

At present, the defense fund for Pertsev and Storm continues to grow, as supporters rally behind them, emphasizing that developers should not be held accountable for how users employ open-source protocols.

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