DOJ Cites Bitcoin Fog Ruling to Bolster Venue Argument in Roman Storm Case

Federal prosecutors are leveraging a recent appeals court ruling in the Bitcoin Fog case to bolster their venue arguments in the ongoing prosecution of Roman Storm, who faces charges related to Tornado Cash. In a Monday filing, the Department of Justice (DOJ) cited the D.C. Circuit’s September 25 ruling as supplemental authority to oppose Storm’s motion for acquittal.

The DOJ argues that the Bitcoin Fog ruling supports their claim that activity within Manhattan was sufficient to establish venue in the Southern District of New York for Storm’s charges. The D.C. Circuit had affirmed the convictions and sentence of Bitcoin Fog operator Roman Sterlingov, holding that venue in Washington, D.C., was proper for all counts. The appeals court based its venue decision on evidence that an undercover agent conducted Bitcoin Fog transactions from his D.C. office for money-laundering counts, and sufficient evidence that Bitcoin Fog served customers in the district for unlicensed money-transmission counts.

Prosecutors contend that similar reasoning applies to the charges against Storm. They argue that Tornado Cash activity in Manhattan, including testimony from Shakeeb Ahmed that he used the mixer from his New York City apartment, is enough to establish venue in the Southern District of New York. The DOJ argued that even short-lived deposits can aid a mixer by increasing the pool of transactions used to obscure fund movements, and that this logic supports their assertion that Ahmed’s use of Tornado Cash furthered the alleged conspiracy.

Storm, convicted in August 2025 of conspiring to operate an unlicensed money-transmitting business, filed a post-trial motion for acquittal in September 2025. He argued that Ahmed’s use of Tornado Cash from Manhattan was insufficient to establish venue. Storm criticized the DOJ’s latest filing on X, stating, “The DOJ is still coming after me with everything it has.”

Storm also pointed to the Treasury Department’s Monday announcement that it would withdraw its proposed crypto-mixer rule, suggesting the government is taking conflicting approaches to crypto privacy tools. The Treasury Department’s proposed rule had aimed to treat certain crypto mixers like money-transmitting businesses.

Arguments on Storm’s acquittal motion were heard by Judge Katherine Polk Failla in April 2026. A retrial on the deadlocked money-laundering and sanctions-conspiracy charges is scheduled for April 26, 2027. It remains uncertain if these charges will proceed to the retrial.

The Bitcoin Fog ruling affirmed the convictions and sentence of Roman Sterlingov, who received 12.5 years in jail. The current legal maneuver by prosecutors in the Storm case highlights the ongoing efforts to establish venue in digital asset prosecutions, particularly concerning cryptocurrency mixers.

Why This Matters

The materials describe a narrow update: Federal prosecutors have cited a recent appeals court ruling in the Bitcoin Fog case as supplemental authority to oppose Roman Storm’s motion for acquittal. Judge Katherine Polk Failla has not yet ruled on Storm’s acquittal motion.

Broader Context

Source materials place the factual news in this context: The D.C. Circuit held that venue in Washington, D.C., was proper for all four counts. For the money-laundering counts, it relied on evidence that an undercover agent conducted Bitcoin Fog transactions from his D.C. office. For the unlicensed money-transmission counts, it found sufficient evidence that Bitcoin Fog had served customers in the district.