
Crypto security expert Michael Lewellen has initiated legal action against the U.S. Department of Justice, criticizing its “flawed and unjust” approach to blockchain code development.
Lewellen, who is a lecturer at the University of Dallas and serves on the board of the Texas Blockchain Council, filed the lawsuit in reaction to the government’s enforcement against crypto mixers, such as Tornado Cash, and their developers.
Federal prosecutors are attempting to categorize protocols like Tornado Cash as money-transmitting services. Lawsuits and sanctions assert that blockchain developers knowingly create code that could be misused by criminals in the future.
The crypto sector has strongly contested this legal interpretation, comparing the DOJ’s argument to holding car manufacturers responsible for traffic accidents.
A federal judge had earlier determined that code developers cannot be held accountable for the creation of decentralized protocols, leading to Tornado Cash being removed from the Treasury’s sanctions list. Nonetheless, developers of Tornado Cash and individuals linked to other crypto mixers remain targets on the DOJ’s prosecution lists.
This lawsuit aims to guarantee that innovators can create without fear and to prevent laws from being misused to hinder progress. For too long, the Biden administration has leveraged a lack of clarity to intimidate builders away from new technologies or to compel them to exit the USA. This must come to an end.
Michael Lewellen on X
Lewellen’s lawsuit puts forth three primary arguments: the DOJ lacks statutory authority to sue software creators for supposedly operating “money-transmitting businesses,” the crackdown violates the First Amendment, and the department’s actions contravene due process.
The lawsuit has garnered support from the crypto advocacy organization CoinCenter, marking another significant effort within the industry to safeguard the right to code.