Developers could be punished for code created to commit crime, says Dutch regulator

The U.S. sanctioned cryptocurrency mixer Tornado Cash, forcing the decentralised organisation (DAO) behind the project to halt operations.

Developers could be punished for code created to commit crime, says Dutch regulator
The advocacy group shared the FIOD's statement, which was given to DeFi Education Fund, on Twitter on August 17.

Developers may be held accountable if they write code with the “single goal” of committing a crime or aiding criminals, according to the Fiscal Information and Investigation Service (FIOD) of the Netherlands, which detained a Tornado Cash developer on August 12, as reported by Cryptoslate.

The advocacy group shared the FIOD’s statement, which was given to DeFi Education Fund, on Twitter on August 17. The name of the detained developer has not been made public by the FIOD. Nevertheless, based on the statements of Alexey Pertsev’s wife Ksenia Malik, it is widely believed that the developer who was detained was Alexey Pertsev.

The DeFi Education Fund was previously informed by the FIOD that the Tornado Cash developer under arrest was suspected of concealing unlawful money flow and assisting money laundering, Cryptoslate noted.

“Tornado Cash was routinely used for legitimate purposes. While we are still waiting for the specific charges against the developer to be released, one thing must remain clear. Writing and publishing code must be protected in free societies and privacy is not a crime,” DeFi policy and advocacy group told Cryptoslate.

The U.S. sanctioned cryptocurrency mixer Tornado Cash, forcing the decentralised organisation (DAO) behind the project to halt operations. A contributor to the mixer earlier informed Cryptoslate that the decision to shut down the DAO was made to protect contributors, including developers outside the Tornado Cash ecosystem.

(With insights from Cryptoslate)

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