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      U.S. Prosecutors Cite Bitcoin Fog Ruling in Case Against Tornado Cash Developer Roman Storm

      U.S. federal prosecutors have referenced a recent appellate ruling concerning the cryptocurrency mixer Bitcoin Fog as part of their argument against the acquittal motion filed by Roman Storm, a developer of Tornado Cash. In court documents submitted on October 5, 2026, the prosecution highlighted the September 25 ruling by the District of Columbia Circuit Court, which upheld the conviction of Bitcoin Fog operator Roman Sterlingov on multiple charges, including money laundering and unlicensed money transmission.

      The appellate court determined that Washington, D.C. had jurisdiction over all charges against Sterlingov, noting that undercover agents had successfully completed transactions at Bitcoin Fog's D.C. office. The prosecution contends that this ruling supports their case against Storm, asserting that Tornado Cash's operations in Manhattan establish jurisdiction in the Southern District of New York for similar conspiracy charges against him. This claim is bolstered by testimony from Shakeeb Ahmed, who stated he used Tornado Cash while in a Manhattan apartment.

      Storm was found guilty in August 2025 of conspiracy to operate an unlicensed money transmission business, although the jury was deadlocked on charges of money laundering and conspiracy to evade sanctions. Following the trial, Storm filed a not guilty motion in September 2025, arguing that the prosecution did not demonstrate his intent to facilitate criminal activities through Tornado Cash. Judge Katherine Polk Failla has yet to issue a ruling on the motion after hearing arguments in April 2026.

      © 2026 KLEA News. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

      Source: KLEA News

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