Crypto Pioneer Alexey Pertsev Denied Bail Amid Tornado Cash Legal Battle

Court denies bail, stating ongoing detention doesn't hinder defense preparation for money laundering appeal.

Alexey Pertsev, the co-founder of the cryptocurrency mixer Tornado Cash, has been denied bail by a Dutch court, according to reports from DLNews. Pertsev's legal team had requested bail to allow him to better prepare for his upcoming appeal against his money laundering conviction.

Despite arguments from his lawyers, the court maintained that keeping Pertsev in detention would not impede his ability to prepare his defense. "The continuation of his detention does not obstruct his possibility to prepare his defense,” stated Keith Cheng, Pertsev's lawyer, in response to the court's decision.

Pertsev was convicted of money laundering by a judge at the 's-Hertogenbosch court in May, receiving a prison sentence of 64 months. The verdict caused significant unrest within the cryptocurrency community, with many expressing outrage. The case has been labeled one of the most critical legal battles in the crypto space.

Last month, in a further setback, Pertsev was denied access to digital facilities, including a computer, despite Cheng's extensive 18-point presentation highlighting the technical complexities of decentralized finance (DeFi) involved in the case. Cheng emphasized that Pertsev's expertise is crucial for the defense, stating, "Preparation cannot be done by a lawyer alone."

Ameen Soleimani, a friend of Pertsev and founder of JusticeDao, an organization aimed at supporting the legal defense in the Tornado Cash cases, commented on the situation via X. He noted that even if Pertsev's appeal is accepted, he will likely remain in prison for the next year while his defense team prepares for the appeal hearing.

This ongoing legal struggle highlights the complexities and challenges at the intersection of cryptocurrency innovation and regulatory scrutiny. The outcome of Pertsev's appeal could have far-reaching implications for the future of crypto regulations and the development of DeFi technologies.

Photo Source / Blockonome