DOJ Cites Bitcoin Fog Ruling Against Roman Storm’s Acquittal Bid

Federal prosecutors have told the court that a recent appeals ruling in the Bitcoin Fog case supports their position in the Tornado Cash trial. In a Monday filing, they cited the Sept. 25 decision that upheld the convictions and sentence of Bitcoin Fog operator Roman Sterlingov. The D.C. Circuit found that venue in Washington was proper on all four counts, relying on an undercover agent’s transactions from his D.C. office for the money-laundering charges and on evidence of customers in the district for the unlicensed money-transmission charges.

Tornado Cash Venue Dispute in Manhattan

Prosecutors say the ruling “directly supports” their claim that Tornado Cash activity in Manhattan is enough to establish venue in the Southern District of New York. They pointed to testimony from Shakeeb Ahmed, who said he used the mixer from his Manhattan apartment. Storm argued in his 2025 motion that this use did not further the alleged conspiracy. Prosecutors countered that even short-lived deposits can help a mixer by enlarging the pool of transactions that hides the movement of funds.

Storm Responds as Treasury Drops Crypto Mixer Rule

Storm criticized the filing on X, saying the DOJ is still coming after him with everything it has. He also pointed to the Treasury Department’s Monday announcement that it will withdraw its proposed crypto-mixer rule, arguing that the government is taking conflicting approaches to crypto privacy tools.