The DOJ Declares Coding Without Criminal Intent is Not a Crime, Shifting Away from Repressive Policies Targeting Crypto Developers, Protocols, and Users.
This announcement follows the conviction of Roman Storm (Tornado Cash) and establishes that a developer releasing decentralized, non-custodial open-source code can no longer be prosecuted for simply writing software.
The shift reflects a political turn with the Trump administration: the DOJ emphasizes that regulation belongs to regulatory authorities, not prosecutors, legitimizing DeFi and open-source projects.
“Coding without criminal intent is not a crime.”: Coding is not illegal, but using that code for criminal purposes is.
A Direct Response to the Tornado Cash Case
This statement comes just weeks after the conviction of Roman Storm, co-founder of Tornado Cash, for conspiring in operating an unlicensed money transfer service. A decision that sent a chill through the ecosystem, fearing a mere developer being prosecuted for the use of his software.
Galeotti’s message is clear: the DOJ will no longer pursue third parties when the software is truly decentralized, involves no custody of funds, and is limited to automating peer-to-peer transactions. In these specific cases, the infamous Article 18 U.S.C. 1960 will not be used to bring new charges.
In other words: a developer who releases open-source code without controlling the infrastructure behind it has nothing to fear about ending up in court just for writing software.
The Line Between Innovation and Crime
However, the DOJ is not lowering its guard. Galeotti reiterated that prosecutions will continue against those who use or design tools with clear criminal intent, whether it be money laundering, fraud, or sanctions evasion. The new direction does not grant a blank check to industry players but finally establishes a boundary between innovation and complicity.
This nuance has long been demanded by developers and investors, worried that simply publishing code could become a legal risk. For Jake Chervinsky, legal counsel at the Variant Fund, Galeotti’s statements could even reopen the Tornado Cash case:
Roman Storm was just convicted precisely on this basis. Doing justice means dropping the case.
An Acknowledged Political Shift
This repositioning is not coincidental. Under the Biden administration, the DOJ had launched offensives, adopting a punitive strategy against crypto. With Donald Trump’s return to the White House, the approach has radically changed. The department has released an internal memo emphasizing that it is not in the business of inventing new regulatory frameworks through criminal prosecutions: that role belongs to regulators, not prosecutors.
Impact on the Ecosystem
For the industry, this shift carries significant implications. It provides vital breathing space for developers, open-source projects, and DeFi protocols, whose growth relied on legal gray areas. It could also impact markets: a more relaxed legal climate encourages investment, reduces perceived risk, and strengthens the legitimacy of truly decentralized projects.
In essence, this discourse illustrates a central battle: defining the line between technological innovation and criminal complicity. In August 2025, the DOJ has chosen its side, and this time, code seems to regain its freedom, at least in words…
