Crypto Litigation And Enforcement: Q3 2024 – Key Takeaways And Updates

What You Need To Know

• The SDNY rejected arguments by Tornado Cash developer Roman Storm that his actions in developing the privacy protocol amounted to protected speech.
• The Tornado Cash court also interpreted the unlicensed money transmitting statute not to require "control" over transmitted funds.
• There is a growing consensus among courts that crypto assets are not inherently securities.
• Courts continue to disagree about whether secondary sales of crypto assets on exchanges can constitute securities transactions.

Civil and criminal litigation heated up this summer in high-profile crypto matters that will affect crypto projects moving forward.

For their quarterly crypto lit update, partner David Feder and associates Rebecca Matsumura and Christopher Crawford unpacked the latest twists and turns and explained what they mean for the shifting enforcement and litigation landscape.