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Tornado Cash Founders Face Major Legal Issues 

Tornado Cash Founders Face Major Legal Issues 

by | Aug 31, 2023 | Latest, Social Justice | 0 comments

In the dynamic world of cryptocurrency, Tornado Cash has emerged as a prominent player. However, recent developments have put the company and its founders, Roman Storm and Roman Semenov, under scrutiny, leading to significant ramifications in the tech and legal spheres. 

Founders Charged by U.S. Attorney’s Office 

On a recent Wednesday, a statement from the U.S. Attorney’s Office for the Southern District of New York brought to light that the founders of Tornado Cash, Roman Storm, and Roman Semenov were officially charged1. They are accused of engaging in a conspiracy to commit money laundering, sanctions violations, and operating an unlicensed money transmitting business. 

The Indictment 

An indictment unveiled recently has brought these charges against the founders. Roman Storm has already been arrested in Washington, but Semenov is still at large according to the Southern District of New York (SDNY). 

“Roman Storm and Roman Semenov in fact knew that they were helping hackers and fraudsters conceal the fruits of their crimes.” – U.S. Attorney Damian Williams 

The Role of Tornado Cash 

Tornado Cash, a platform established in 2019, is a cryptocurrency mixing service that provides users with the ability to conceal the origin of their crypto funds during transactions. This service, although beneficial to individuals seeking privacy, has also been utilized to render potentially tainted crypto funds less identifiable. 

Decentralized Nature 

During an interview with CoinDesk in January 2022, Semenov emphasized the decentralized nature of Tornado Cash. He mentioned that the protocol was specifically designed to be “unstoppable”. He also added that the team had little control over the protocol, thereby making it difficult for them to assist in investigations. 

Legal Repercussions 

The third co-founder of Tornado Cash, Alexey Pertsev, although not named in the recent indictment, is also facing legal consequences. Pertsev, who is based in Amsterdam, is being investigated for his role in the operations of Tornado Cash. 

Money Laundering Allegations 

Tornado Cash’s platform has allegedly been involved in transactions amounting to over $1 billion related to money laundering according to the SDNY. This includes over $455 million stolen by the Lazarus Group, a North Korean cybercrime organization, as per a statement from the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) last year. 

Sanctions by OFAC 

In August 2022, Tornado Cash was sanctioned by OFAC for reportedly enabling over $7 billion in crypto to be laundered through its platform. From that point forward, U.S. citizens and businesses were prohibited from using its service. 

Involvement of Other Agencies 

Alongside the SDNY, the Federal Bureau of Investigation, the Justice Department, and the Internal Revenue Service’s Criminal Investigation unit have also been involved in the charges brought against the founders of Tornado Cash on Wednesday. 

Conclusion 

In conclusion, the charges brought against the founders of Tornado Cash underscore the ongoing scrutiny and regulatory challenges faced by businesses in the cryptocurrency sector. As this case unfolds, it will undoubtedly influence the legal and regulatory landscape for cryptocurrency businesses worldwide. 

As we continue to monitor this situation, we remain committed to providing the latest tech news and updates regarding Tornado Cash and other significant developments in the cryptocurrency world. Stay tuned for more updates 

San Francisco Bakery’s Bold Stand: A Twist in the Tale of Social and Racial Justice 

San Francisco Bakery’s Bold Stand: A Twist in the Tale of Social and Racial Justice 

by | Aug 31, 2023 | Latest, Social Justice | 0 comments

A bakery in San Francisco, known for its delightful street food, is making headlines. But not for its scrumptious pastries or mouth-watering cakes. The bakery, Reem’s California, has stirred up a storm with its unique policy: a refusal to serve police officers. 

The Tweet that Sparked Controversy 

A tweet from the San Francisco Police Officers Association (SPOA) spokesperson relayed the surprising incident. An officer in uniform was denied service at Reem’s. The tweet blasted out the bakery’s policy, “NO COPS ALLOWED.” 

“NO COPS ALLOWED. That’s the confirmed policy of the bakery chain Reem’s. One of our officers was denied service last weekend because he was in uniform. Reem’s confirms that they will not serve anyone armed and in uniform. Presumably, this includes members of the U.S. Military.” 
 

Reem’s California: The Stand for Social and Racial Justice 

Reem’s is not just any ordinary bakery. It’s a local Arab company deeply committed to uplifting social and racial justice. In a statement to the San Francisco Gate, a spokesperson from Reem’s elucidated the company’s stand. 

“This includes fostering an environment of safety for our staff and customers,” it continued. “In a time of increased gun violence — particularly impacting people of color, youth, and queer people — we believe that maintaining a strict policy of prohibiting guns in our restaurant keeps us safer.” 

The policy, as per the company’s perspective, is a tool to protect its community from the escalating gun violence. 

The Impact of Gun Violence 

The San Francisco based company added that many in their community have been direct or indirect victims of gun violence. Whether it’s the streets of San Francisco or Oakland or the broader repercussions of war and political extremism, the impact is palpable. 

The victims are often marginalized people – the black and brown population, the poor, and the vulnerable. At Reem’s, the aim is to create a safe and welcoming space. A place where the community can savor delicious Arab food and work together to strengthen their bonds. 

A Call to the Community 

Reem’s invites its community to join them in fostering a culture of care and resilience. It’s a call to step up, to stand together, and to build a community free from fear of violence or harassment. 

SPOA Response 

The SPOA, on the other hand, has requested Reem’s and any other business with similar policies to display their stance openly. This way, the officers would know where not to spend their money, on or off duty. 

The Deeper Implications 

This incident throws light on the broader issues of social justice and racial justice that persist in our society. It’s a reflection of the deep-seated prejudices, fears, and divisions that continue to plague us. 

But above all, it’s a call to action. It’s a reminder that every individual, every business, and every institution has a role to play in shaping a just and equitable society. 

Final Thoughts 

In the heart of San Francisco, a bakery is making a stand. It’s not about pastries or cakes, but about social and racial justice. It’s about creating an environment of safety and acceptance. It’s about standing up against gun violence. It’s about fostering a culture of care and resilience. 

Perhaps it’s time we all take a moment to reflect on what we can do to contribute to this change. Because, in the end, every action counts.