Ethereum Foundation Backs Tornado Cash Co-founder with $500K Lifeline – Privacy Tech Stands Firm

In a bold move that's rattling both regulators and crypto purists, the Ethereum Foundation has thrown $500K behind Tornado Cash's embattled co-founder. Privacy tech wins a battle—but the war's far from over.

The funding sparks fresh debates: Is this principled support for financial anonymity, or just another 'move fast and break laws' crypto cliché? Meanwhile, traditional bankers clutch their pearls—nothing scares them more than money they can't control.

TLDR

• The Ethereum Foundation will match community donations up to $500,000 to support Roman Storm’s legal appeal.
• Roman Storm was convicted of operating an unlicensed money transmitter while two conspiracy charges remain unresolved.
• Storm’s legal team continues to face high costs due to expert witness fees, research and ongoing filings.
• The Free Pertsev & Storm group says the verdict could set a major precedent for developers worldwide.
• Prosecutors claim Tornado Cash was knowingly used by criminals while the defence argues the protocol operated autonomously.

The ethereum Foundation will match community donations with $500,000 to support Tornado Cash co-founder Roman Storm’s appeal. Storm was recently convicted on one federal charge but faces unresolved counts that could lead to longer prison terms. His legal team continues to seek significant funding to cover ongoing litigation expenses.

Ethereum Foundation Steps In with Matching Support

The Ethereum Foundation confirmed it would match donations to Storm’s legal fund up to the pledged amount. Co-executive director Wei Wang stated on X, “Privacy is normal, and writing code is not a crime.” The pledge aims to ease mounting costs as Storm’s defence prepares for a lengthy appeal process.

The @ethereumfndn will be matching up to another $500K in donations to the legal defense of Roman Storm.

Privacy is normal, and writing code is not a crime.

The community can contribute to @rstormsf's legal defense here: https://t.co/WPW7OFELFW https://t.co/mhbmUI2iq5

— hww.eth | Hsiao-Wei Wang (@hwwonx) August 7, 2025

Storm’s supporters say the verdict could have a lasting effect on software developers worldwide. They argue that Tornado Cash functioned autonomously and could not block transactions. The foundation’s previous contributions included $750,000, part of which came from an earlier matching campaign.

The legal aid group Free Pertsev & Storm continues to coordinate community donations. It warned that the appeal remains urgent as Storm faces up to five years in prison if unsuccessful. It also noted that prosecutors could retry the unresolved conspiracy charges.

Mounting Costs and Fundraising Efforts

Storm’s legal team said litigation costs remain high due to expert witness fees and complex legal filings. In July 2025, during his trial, Storm sought $1.5 million from the community to cover expenses. He also requested $500,000 on July 14 to address a “critical shortfall” before trial.

The Ethereum Foundation’s latest pledge comes as his legal bills keep growing. The defence worked through a three-week trial in New York. Donations from earlier fundraising rounds have already brought in millions to support his case.

Free Pertsev & Storm said the case is about more than Storm’s personal defence. It stressed that the verdict may “set a major precedent for developers worldwide.” The group called on the crypto community to continue its contributions.

Split Verdict and Broader Implications

On August 6, a Manhattan jury convicted Storm of operating an unlicensed money transmitter. However, jurors failed to reach a verdict on charges of conspiracy to commit money laundering and conspiracy to violate US sanctions. They deliberated for four days before telling Judge Katherine Polk Failla they were deadlocked on the two counts.

Prosecutors argued Storm knowingly enabled Tornado Cash to be used by criminal groups, including North Korea’s Lazarus Group. His defence said the protocol operated autonomously, with no control mechanism for developers. Several jurors opposed convicting a developer who could not control protocol use.

Judge Failla allowed Storm to remain on bond while the legal battle continues. Within the crypto community, the case has raised concerns about criminalising software development. Supporters warn the outcome could make coders liable for unintended uses of their work.