Solana Policy Institute Donates $500K to Tornado Cash Developers’ Legal Defense

Quick Breakdown 

• Solana Policy Institute pledged $500K to Tornado Cash developers’ legal defense.
• Over $5.5M has been raised by the crypto community, with major contributions from Ethereum Foundation, Vitalik Buterin, and Paradigm.
• Legal experts warn of a chilling effect, saying the convictions could reshape liability for open-source developers.

Advocacy group joins growing list of crypto organizations backing Roman Storm and Alexey Pertsev

The Solana Policy Institute, a nonprofit promoting Solana and open blockchain policy, has pledged $500,000 to support the legal defense of Tornado Cash co-founders Roman Storm and Alexey Pertsev, who face convictions linked to money laundering and unlicensed money transmission.

Source : Roman Storm defense fund

The contribution adds to a surge of community-driven fundraising efforts across the crypto industry, with legal experts warning that the cases pose a serious threat to open-source software development.

Storm and Pertsev Face Mounting Legal Battles

Roman Storm was convicted on August 6 of operating an unlicensed money-transmitting business, while Alexey Pertsev was convicted in 2024 on money laundering charges for his role in developing Tornado Cash, a decentralized protocol designed to preserve user privacy by obscuring crypto transactions.

Storm is currently pursuing post-trial motions to overturn his conviction, while Pertsev’s case has entered the appeals stage. The Solana Policy Institute said its donation was aimed at helping both developers fight back against rulings that it described as based on “a misunderstanding of how blockchain technology works.”

Millions Raised Through Community Support

The Free Roman Storm Defense Fund has raised $5.5 million so far, just $1.5 million shy of its target. Major pledges include, Ethereum Foundation pledge of $500,000 in June, plus a commitment to match up to $750,000 in community donations. Federico Carrone, Ethereum core developer, also pledged $500,000 following his brief detention in Turkey. 

Paradigm pledged a $1.25 million contribution in January, with co-founder Matt Huang warning the case could “have a chilling effect in crypto and beyond.” Meta Cartel DAO and Golem Project also donated their treasuries and 50 Ether (≈ $224,000) respectively.

Wider Industry Condemnation

Legal analysts and advocacy groups have criticized the prosecutions. The Solana Policy Institute warned that the government’s position effectively criminalizes developers for creating neutral tools. The Blockchain Association echoed this concern, stating that Storm’s conviction “fundamentally changes developers’ risk calculus” and could stifle innovation in crypto and beyond.