The legal trial of Twister Money co-founder Roman Storm started in New York federal court docket with starkly opposing narratives.
Jury choice concluded Monday. Opening statements adopted shortly after, providing the primary perception into both sides’s technique.
A Lady Scammed for $250,000
Prosecutors opened with a private story. Assistant US Lawyer Kevin Mosley advised jurors a few girl in New York who misplaced $250,000 in a crypto rip-off. Hackers tricked her, then laundered the stolen cash by Twister Money.
This incident, Mosley stated, was only one instance of how criminals used the protocol. It gave the jury a human face to a technical crime.
Afterwards, the prosecutor escalated the stakes. He claimed Storm’s software helped North Korea’s Lazarus Group launder $600 million stolen in a gaming firm hack. He argued this violated US sanctions and nationwide safety legal guidelines.
In keeping with prosecutors, Storm knew concerning the hack however selected to do nothing. As a substitute, he “continued working the washer,” Mosley stated.
The prosecution additionally advised jurors that Storm not solely constructed the machine however eliminated the off-switch. He “had the keys to the laundromat,” Mosley stated. The federal government argued this was deliberate and worthwhile.
Protection: “He Was a Coder, Not a Legal”
Storm’s lawyer, Keri Axel, painted a really totally different image. She stated Storm was a younger immigrant who fell in love with blockchain.
Born in Kazakhstan, raised in Russia, and later transferring to the US, Storm was impressed by Ethereum creator Vitalik Buterin.
Buterin inspired builders to construct privateness instruments. That recommendation sparked the creation of Twister Money.
Axel argued that Twister Money was like all impartial software. “It’s like Sign or a hammer,” she advised the jury. Each can be utilized for good or dangerous.
She emphasised that Storm had no function within the North Korea hack. Twister Money was an open-source protocol. As soon as deployed, nobody—not even Storm—might cease or management it.
The T-Shirt Was a Meme
One piece of proof the prosecution pointed to was a shirt Storm wore at a tech convention. It made a joke about cash laundering.
Axel stated the shirt was a poor-taste meme widespread in crypto circles—not proof of legal intent. “It was a joke, not a confession,” she advised jurors.
The protection walked the jury by how Twister Money works. Axel defined good contracts, public blockchains, and the function of Ethereum nodes.
She stated Storm didn’t cost charges, had no entry to person funds, and couldn’t alter the system as soon as deployed.
In keeping with Axel, the federal government misunderstood how decentralized code works.
The protection pointed to Storm’s response after the $600 million hack. Somewhat than exploiting the second, Storm messaged collaborators saying, “We’re achieved.”
She stated this confirmed his concern, not complicity. The trial, she argued, is punishing a developer for the misuse of software program.
First Witness Testifies About Utilizing Twister Money In a Crypto Rip-off
After opening statements, the jury heard from the prosecution’s first witness—Ms. Lin from Taiwan. She stated she misplaced cash to a crypto rip-off and was instructed to make use of Twister Money to cover the path.
Her testimony aimed to point out how common folks had been affected by Twister Money’s use by scammers.
The trial is anticipated to final a number of weeks. The prosecution plans to current chat logs, monetary information, and witness testimony.
The jury will probably be requested to resolve whether or not Storm wrote code—or ran a legal enterprise.
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