The judge in the Tornado Cash case delivered an oral ruling today, rejecting both the Defense’s motion to compel discovery and their motion to dismiss the charges. This represents a massive setback for the Defense, and the judge’s reasoning may not bode well for developers and projects going forward.
Defense's Motion to Compel Discovery
The Defense's motion to compel discovery sought access to a broad range of government communications, including exchanges under the Mutual Legal Assistance Treaty (MLAT) and with agencies like the Office of Foreign Assets Control (OFAC) and the Financial Crimes Enforcement Network (FinCEN). The Defense argued that these materials were essential to understanding the case and could include exculpatory evidence. However, the judge emphasized the stringent requirement under Rule 16, stating that the Defense must show the requested information's materiality, not just speculate on its usefulness.
Defense's Request for Communications
The court dismissed the Defense’s arguments as speculative, noting that references to what the information "might" or "could" reveal do not meet the necessary standard for materiality. The Defense failed to demonstrate a direct link between the requested documents and their defense strategy, leading to the rejection of their request for all communications with OFAC and FinCEN.
Implications of In-Camera Review
When the Defense suggested an in-camera review of the documents, the court refused, stating that granting such requests based on speculation would set a dangerous precedent. The judge emphasized the importance of maintaining the purpose of Rule 16 and avoiding unrestrained searches for evidence.
Motion to Dismiss and Definition of "Money Transmitter"
The motion to dismiss raised significant issues regarding Tornado Cash's classification as a "money transmitter" under the Bank Secrecy Act. The Defense argued that Tornado Cash did not meet the criteria, but the court disagreed, stating that its role in facilitating cryptocurrency transactions fell within the statute's scope.
First Amendment and Code Use
The Defense's argument regarding the First Amendment's protection of code was addressed by the judge, who clarified that the specific use of code for illegal activities does not fall under protected speech. The court emphasized the need to focus on the conduct enabled by the code rather than the code itself.
Immensity of Tornado Cash's Smart Contracts
Concerns about the immutability of Tornado Cash's smart contracts were acknowledged by the judge, noting that they may play a role in determining Storm's control over the service and his responsibility for its operations during trial.
In conclusion, the judge highlighted the distinction between using code for communication and using it to facilitate illegal activities. This ruling underscores the legal system's readiness to hold participants in the digital economy accountable, even in the face of evolving technologies.
Colin Crossman is the author of this guest post. Opinions expressed are their own and do not necessarily reflect those of BTC Inc or Bitcoin Magazine.
Frequently Asked Questions
Can I hold physical gold in my IRA?
Gold is money, not just paper currency or coinage. Gold is an asset people have used for thousands years as a place to store value and protect their wealth from economic uncertainty and inflation. Today, investors use gold as part of a diversified portfolio because gold tends to do better during financial turmoil.
Today, Americans prefer precious metals like silver and gold to stocks and bonds. It is possible to make money by investing in gold. However, it doesn't guarantee that you'll make a lot of money.
Another reason is that gold has historically outperformed other assets in financial panic periods. Gold prices rose nearly 100 percent between August 2011 and early 2013, while the S&P 500 fell 21 percent over the same period. Gold was one asset that outperformed stocks in turbulent market conditions.
One of the best things about investing in gold is its virtually zero counterparty risk. If your stock portfolio goes down, you still own your shares. Gold can be worth more than its investment in a company that defaults on its obligations.
Gold provides liquidity. This means that you can sell gold anytime, regardless of whether or not another buyer is available. It makes sense to buy small quantities of gold, as it is more liquid than other investments. This allows you to take advantage of short-term fluctuations in the gold market.
What is the best precious-metal to invest?
This question is dependent on the amount of risk you are willing and able to accept as well as the type of return you desire. While gold is considered a safe investment option, it can also be a risky choice. For example, if your goal is to make quick money, gold may not suit you. You should invest in silver if you have the patience and time.
If you're not looking to make quick money, gold is probably your best choice. However, silver might be a better option if you're looking for an investment that provides steady returns over long periods.
What are the fees associated with an IRA for gold?
The Individual Retirement Account (IRA), fee is $6 per monthly. This includes the account maintenance fees and any investment costs associated with your chosen investments.
To diversify your portfolio you might need to pay additional charges. These fees can vary depending on which type of IRA account you choose. Some companies offer free checking accounts, but charge monthly fees to open IRA accounts.
Most providers also charge an annual management fee. These fees are usually between 0% and 1%. The average rate for a year is.25%. However, these rates are typically waived if you use a broker like TD Ameritrade.
Should you open a Precious Metal IRA
It is essential to be aware of the fact that precious metals do not have insurance coverage before opening an IRA. It is impossible to get back money if you lose your investment. All your investments can be lost due to theft, fire or flood.
You can protect yourself against such losses by purchasing physical gold and silver coins. These items have been around for thousands of years and represent real value that cannot be lost. If you were to sell them today, you would likely receive more than what you paid for them when they were first minted.
If you decide to open an IRA account, choose a reputable company that offers competitive rates and products. It is also a smart idea to use a third-party trustee who will help you have access to your assets at all times.
Remember that you will not see any returns unless you are retired if you open an Account. Don't forget the future!
Is gold a good IRA investment?
If you are looking for a way to save money, gold is a great investment. It's also a great way to diversify your portfolio. But gold has more to it than meets the eyes.
It has been used throughout history as currency and it is still a very popular method of payment. It is often called “the most ancient currency in the universe.”
But unlike paper currencies, which governments create, gold is mined out of the earth. This makes it highly valuable as it is hard and rare to produce.
The supply and demand factors determine how much gold is worth. The economy that is strong tends to be more affluent, which means there are less gold miners. The value of gold rises as a consequence.
The flip side is that people tend to save money when the economy slows. This results in more gold being produced, which drives down its value.
This is why both individuals as well as businesses can benefit from investing in gold. If you have gold to invest, you will reap the rewards when the economy expands.
Also, your investments will earn you interest which can help increase your wealth. Plus, you won't lose money if the value of gold drops.
Statistics
- If you take distributions before hitting 59.5, you'll owe a 10% penalty on the amount withdrawn. (lendedu.com)
- You can only purchase gold bars at least 99.5% purity. (forbes.com)
- Indeed, several financial advisers interviewed for this article suggest you invest 5 to 15 percent of your portfolio in gold, just in case. (aarp.org)
- Contribution limits$6,000 (49 and under) $7,000 (50 and up)$6,000 (49 and under) $7,000 (50 and up)$58,000 or 25% of your annual compensation (whichever is smaller) (lendedu.com)
- (Basically, if your GDP grows by 2%, you need miners to dig 2% more gold out of the ground every year to keep prices steady.) (smartasset.com)
External Links
law.cornell.edu
- 7 U.S. Code SS7 – Designation Boards of Trade as Contract Markets
- 26 U.S. Code SS 408 – Individual retirement funds
cftc.gov
irs.gov
bbb.org
How To
Online buying gold and silver is the best way to purchase it.
First, understand the basics of gold. It is a precious metal that is very similar to platinum. It's very rare, and it is often used as money for its durability and resistance. It is hard to use, so most people prefer jewelry made of it to real bars of gold.
There are two types today of gold coins. One is legal tender while the other is bullion. Legal tender coins are minted for circulation in a country and usually include denominations like $1, $5, $10, etc.
Bullion coins are only minted to be used for investment purposes. Their value increases over time because of inflation.
They are not exchangeable in any currency exchange system. For example, a person who buys $100 worth or gold gets 100 grams. This gold has a $100 price. Each dollar spent by the buyer is worth 1 gram.
When you are looking to purchase gold, the next thing to know is where to get it. There are several options available if your goal is to purchase gold from a dealer. First off, you can go through your local coin shop. You can also go to a reputable website such as eBay. You can also purchase gold through private online sellers.
Individuals selling gold at wholesale prices and retail prices are known as private sellers. Private sellers charge a 10% to 15% commission per transaction. This means that you will get less back from a private seller than if you sell it through a coin shop or on eBay. This option is often a great one for investors in gold, as it gives you greater control over the item's value.
Another way to buy gold is by investing in physical gold. Physical gold is much easier to store than paper certificates, but you still have to worry about storing it safely. Physical gold must be kept safe in an impassible container, such as a vault.
When buying gold on your own, you can visit a bank or a pawnshop. A bank can offer you a loan for the amount that you need to buy gold. The pawnshop is a small business that allows customers to borrow money to buy items. Banks charge higher interest rates than those offered by pawn shops.
The final option is to ask someone to buy your gold! Selling gold is also easy. Contact a company such as GoldMoney.com, and you can set up a simple account and start receiving payments immediately.
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By: Colin Crossman
Title: The Tornado Cash Case: Judge Rejects Defense Motions and Sets Precedent for Developers
Sourced From: bitcoinmagazine.com/legal/tornado-cash-loses-motion-to-dismiss
Published Date: Fri, 27 Sep 2024 13:52:18 GMT
Did you miss our previous article…
https://altcoinirareview.com/israels-move-towards-a-cashless-society-what-it-means-for-citizens-and-neighbors/
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