A US judge has ruled that software code used in crypto protocols like Tornado Cash does not qualify for First Amendment protection, rejecting arguments that deploying such code is protected as free speech.
The decision, delivered by Judge Katherine Polk Failla in the Southern District of New York on Sept. 26, also sets a precedent for treating crypto protocols as money transmitters, even when developers do not control the funds being transmitted.
The ruling has significant implications for the crypto industry, particularly for Tornado Cash developer Roman Storm’s upcoming trial, which has been scheduled for Dec. 2.
Storm, who faces charges of money laundering, operating an unlicensed money-transmitting business, and evading US sanctions, argued that his role in developing and deploying the Tornado Cash protocol should be protected under free speech laws.
Judge Failla rejected this argument, clarifying that while code can be expressive, using it to execute functions like money transmi
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