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DOJ Cites Bitcoin Fog Ruling in Bid to Keep Tornado Cash Case in New York

DOJ Cites Bitcoin Fog Ruling in Bid to Keep Tornado Cash Case in New York

The Justice Department is leaning on a recent appeals court ruling in its Bitcoin Fog case to argue that Roman Storm's criminal case belongs in New York. Prosecutors say the Bitcoin Fog decision supports their position that Tornado Cash activity tied to Manhattan gives the court venue over at least parts of the case. The filing lands while Storm is asking the court to acquit him, and it could undercut that effort.

The venue fight, explained

Venue is the quiet procedural battle underneath the headline charges. Storm's team wants the case resolved in his favor — an acquittal — and one path to that runs through knocking out the government's theory of where the alleged conduct happened. If prosecutors can't tie the relevant activity to the Southern District of New York, the case gets shakier.

The DOJ's answer is the Bitcoin Fog ruling. That case, which also played out in the same circuit, apparently gave prosecutors language they think travels. They're not arguing Tornado Cash and Bitcoin Fog are the same operation. They're arguing the appeals court's reasoning on venue covers this situation too.

That's a narrow, technical move. It's also the kind that decides cases before a jury ever hears them.

Why Manhattan matters

The government's venue claim rests on Tornado Cash activity that prosecutors say touched Manhattan. That's the hook they need to keep the case in New York rather than somewhere else. Storm's side has been pressing the opposite view — that the government is stretching the location of the alleged conduct to hold the trial where it wants it.

Judges take venue motions seriously because they're not about guilt or innocence. A ruling that the government picked the wrong courthouse can end a prosecution outright, or at least force it to start over somewhere else. Prosecutors know this. Defense lawyers build entire strategies around it.

So when the DOJ reaches for a fresh appeals precedent, it's not busywork. It's an attempt to lock the door before Storm can walk through it.

What the acquittal bid faces

Storm is seeking acquittal, and the timing of the DOJ's filing matters. If the court accepts the Bitcoin Fog analogy, the venue argument that underpins part of his challenge gets weaker. That doesn't automatically sink the acquittal request — acquittal arguments can rest on several grounds at once — but it removes one of the cleaner procedural levers.

Prosecutors framed the Bitcoin Fog ruling as directly supportive of their venue position. That's their read. Storm's lawyers will get their chance to argue the two cases are different enough that the precedent shouldn't control.

The appeals ruling itself is recent, which cuts both ways. Fresh precedent carries weight, but it also means there's less case law applying it to a Tornado Cash-shaped fact pattern. Both sides will fight over how far it stretches.

Where this goes next

The immediate question is whether the court adopts the government's reading of the Bitcoin Fog decision for venue purposes. Storm's acquittal bid is pending, and the DOJ's filing is designed to shape how the judge sees that motion. No new trial date or hearing has been set from the facts available here, and the venue dispute is now intertwined with the broader request to throw out the case.

For now, the practical effect is simple: the government has added a fresh appeals precedent to its side of the ledger, and Storm's team has to explain why it shouldn't apply. Everything else waits on the judge.