Tornado Cash dev released with electronic monitoring during appeal

Tornado Cash (CRYPTO:TORN) developer Alexey Pertsev has been released from pre-trial detention by a Dutch court but will be subject to electronic monitoring as he appeals his money laundering conviction.

Pertsev's release occurred on February 7 at 10 a.m. local time.

Pertsev announced the release on X, stating it "is not real freedom, but it is better than prison."

He was arrested in the Netherlands in August 2022 following U.S. sanctions against Tornado Cash.

In May 2024, he was found guilty of money laundering and sentenced to five years and four months in prison.

The court rejected his argument that he shouldn't be liable for how users utilised Tornado Cash, stating that he and other co-founders should have implemented stronger safeguards against illicit activity.

The U.S. Treasury Department sanctioned Tornado Cash in August 2022, alleging it laundered over $7 billion since 2019, including funds for North Korea’s Lazarus Group.

The service allowed users to obscure Ethereum (CRYPTO:ETH) transactions.

Pertsev’s defense maintains that he only developed open-source software and shouldn't be responsible for its misuse.

His case has sparked debates about financial privacy and software developer liability.

Ethereum founder Vitalik Buterin has voiced concerns about the precedent Pertsev's prosecution sets for developers.

Another Tornado Cash developer, Roman Storm, was charged in the U.S. in August 2023 and is free on a $2 million bond.

A U.S. court overturned the sanctions against Tornado Cash on January 21, 2025.

In November 2024, a U.S. federal appeals court ruled that the sanctions against Tornado Cash were unlawful.

Following Pertsev's release announcement, Tornado Cash's token, TORN, experienced a price surge of nearly 40% before settling around $12.88.

At the time of reporting, the Tornado Cash (TORN) price was $12.87.