{"id":495890,"date":"2025-08-28T22:34:04","date_gmt":"2025-08-28T21:34:04","guid":{"rendered":"https:\/\/cryptoslate.com\/?p=495890"},"modified":"2025-08-29T09:32:53","modified_gmt":"2025-08-29T08:32:53","slug":"solana-policy-institute-grants-500k-to-defend-tornado-cash-developers","status":"publish","type":"post","link":"https:\/\/cryptoslate.com\/solana-policy-institute-grants-500k-to-defend-tornado-cash-developers\/","title":{"rendered":"Solana Policy Institute grants $500K to defend Tornado Cash developers"},"content":{"rendered":"<p>The <a href=\"https:\/\/cryptoslate.com\/coins\/solana\/\">Solana<\/a> Policy Institute (SPI) has pledged $500,000 to the legal defense of Tornado Cash developers Roman Storm and <a href=\"https:\/\/cryptoslate.com\/people\/alexey-pertsev\/\">Alexey Pertsev<\/a>, according to an Aug. 28 <a href=\"https:\/\/www.solanapolicyinstitute.org\/blog\/spi-announces-500-000-donation-to-roman-storm-and-alexey-pertsevs-legal-defense-funds\">statement<\/a>.<\/p>\n<p>Storm and Pertsev helped create <a href=\"https:\/\/cryptoslate.com\/coins\/tornado-cash\/\">Tornado Cash<\/a>, an <a href=\"https:\/\/cryptoslate.com\/coins\/ethereum\/\">Ethereum<\/a>-based privacy protocol that allows crypto transactions to be mixed and anonymized. After deployment, the developers relinquished control of the smart contracts, leaving the system to run without centralized oversight.<\/p>\n<h2>Developers held liable<\/h2>\n<p>Courts in the Netherlands and the US have held the developers <a href=\"https:\/\/cryptoslate.com\/doj-to-press-on-with-criminal-charges-against-tornado-cash-developer-roman-storm\/\">liable for malicious actors'<\/a> use of the platform for their illicit activities.<\/p>\n<p>Pertsev was convicted of money laundering in 2024, while Storm was found guilty earlier this month of conspiring to operate an unlicensed money-transmitting business.<\/p>\n<p>These convictions have elicited <a href=\"https:\/\/cryptoslate.com\/vitalik-buterin-helps-tornado-cash-developer-roman-storm-with-170k-new-year-donation\/\">strong responses<\/a> from the crypto community, which argues that the Tornado Cash developers' conviction misinterprets\u00a0how blockchain protocols function.<\/p>\n<p>Industry experts argue that developers cannot monitor or restrict usage of their protocols once the open-source code is published and <a href=\"https:\/\/cryptoslate.com\/tornado-cash-token-surges-to-2-year-high-after-us-court-rules-treasury-sanctions-unlawful\/\">immutable<\/a>.<\/p>\n<p>Notably, the SPI echoed this view, warning that holding coders responsible for third-party activity establishes a precedent that threatens innovation across the entire software industry.<\/p>\n<p>Kristin Smith, the President of the Solana Policy Institute, <a href=\"https:\/\/x.com\/KMSmithDC\/status\/1961066952220131474\">said<\/a>:<\/p>\n<blockquote><p>&#8220;Privacy is normal. Code is speech. And at Solana Institute, we'll continue to defend the rights of software developers everywhere.&#8221;<\/p><\/blockquote>\n<h2>Solana welcomes &#8216;Tornado Cash-like' protocol<\/h2>\n<p>The SPI donation comes as Solana welcomes the launch of a Tornado Cash\u2013style platform on its network.<\/p>\n<p>On Aug. 27, Privacy Cash went live on the network, offering users a way to transfer digital assets into new wallets without linking prior addresses or transaction histories.<\/p>\n<p>Mert Mumtaz, CEO of Helius Labs, <a href=\"https:\/\/x.com\/0xmert_\/status\/1960833278321349106?s=46\">said<\/a> the tool's design mirrors Tornado Cash's but benefits from Solana\u2019s performance and integrated block explorers.<\/p>\n<p>According to him, combining the protocol with Solana\u2019s infrastructure\u2014and even bridging to privacy-focused assets like Zcash\u2014gives users a pathway to near-total anonymity.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Solana Policy Institute (SPI) has pledged $500,000 to the legal defense of Tornado Cash developers Roman Storm and Alexey Pertsev, according to an Aug. 28 statement. Storm and Pertsev helped create Tornado Cash, an Ethereum-based privacy protocol that allows crypto transactions to be mixed and anonymized. After deployment, the developers relinquished control of the [&hellip;]<\/p>\n","protected":false},"author":720,"featured_media":495897,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[77968,60793,61045,37],"tags":[72190,75380,77597],"post_folder":[],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v21.9 (Yoast SEO v21.9.1) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Solana backs Tornado Cash developers&#039; defense with $500K donation<\/title>\n<meta name=\"description\" content=\"The Solana Policy Institute warns that targeting developers for protocol misuse could stifle industry innovation\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/cryptoslate.com\/solana-policy-institute-grants-500k-to-defend-tornado-cash-developers\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Solana Policy Institute grants $500K to defend Tornado Cash developers\" \/>\n<meta property=\"og:description\" content=\"The Solana Policy Institute warns that targeting developers for protocol misuse could stifle industry innovation\" \/>\n<meta property=\"og:url\" content=\"https:\/\/cryptoslate.com\/solana-policy-institute-grants-500k-to-defend-tornado-cash-developers\/\" \/>\n<meta property=\"og:site_name\" content=\"CryptoSlate\" \/>\n<meta property=\"article:published_time\" content=\"2025-08-28T21:34:04+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2025-08-29T08:32:53+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2025\/08\/tornadocash-solana-defense.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1200\" \/>\n\t<meta property=\"og:image:height\" content=\"630\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Oluwapelumi Adejumo\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@cryptoslate\" \/>\n<meta name=\"twitter:site\" content=\"@cryptoslate\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Oluwapelumi Adejumo\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"NewsArticle\",\"@id\":\"https:\/\/cryptoslate.com\/solana-policy-institute-grants-500k-to-defend-tornado-cash-developers\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/cryptoslate.com\/solana-policy-institute-grants-500k-to-defend-tornado-cash-developers\/\"},\"author\":{\"@type\":\"Person\",\"@id\":\"https:\/\/cryptoslate.com\/author\/oluwapelumi-adejumo\/#person\",\"name\":\"Oluwapelumi Adejumo\",\"url\":\"https:\/\/cryptoslate.com\/author\/oluwapelumi-adejumo\/\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/cryptoslate.com\/author\/oluwapelumi-adejumo\/\"},\"image\":{\"@type\":\"ImageObject\",\"@id\":\"https:\/\/cryptoslate.com\/author\/oluwapelumi-adejumo\/#authorimage\",\"url\":\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2025\/12\/profile-photo-oluwapelumi-adejumo-300x300.jpg\",\"contentUrl\":\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2025\/12\/profile-photo-oluwapelumi-adejumo-300x300.jpg\",\"caption\":\"Oluwapelumi Adejumo\"},\"jobTitle\":\"Senior Reporter\",\"description\":\"Oluwapelumi values Bitcoin's potential. 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