Alexey Pertsev, the architect behind the OFAC-sanctioned cryptocurrency mixer Tornado Cash, has been denied bail as his legal team readies an appeal against his money laundering charges. This development has sent ripples through the legal and crypto communities alike.

Unexpected Bail Rejection

Keith Cheng, Pertsev’s defense counsel, expressed astonishment at the court’s decision to deny bail. Additionally, a request for Pertsev to access a computer for his appeal preparations was also turned down, compounding the defense’s challenges.

Court’s Stance on Detention

The judiciary asserted that Pertsev’s ongoing detention would not impede his defense preparation. Moreover, they cited safety protocols to justify denying his request for computer access, further complicating his defense strategy.

Read more: Bail Granted for Samourai Wallet Co-founder Amid Legal Contest

Defense’s Counterarguments

Judith de Boer, another lawyer representing Pertsev, condemned the court’s decision, labeling the pre-trial detention under such significant legal circumstances as “intolerable.” She highlighted the unprecedented nature of this case, which scrutinizes when a software developer can be held criminally accountable for third-party misuse of their creation.

Conviction and Sentencing

On May 14, the ‘s-Hertogenbosch Court of Appeal in the Netherlands convicted Pertsev of money laundering. He received a sentence of five years and four months for allegedly laundering $1.2 billion through Tornado Cash, a judgment that has intensified the debate over legal responsibilities in the digital realm.

Repeated Denial of Bail

Pertsev’s latest bail denial on July 13 marks the third such refusal. Previously, in November 2023, a Dutch court denied his release under surveillance, citing flight risk concerns. Again in February, his request was rejected, underlining the prosecution’s view of Pertsev as a pivotal figure in Tornado Cash’s operations.

JusticeDAO’s Response

JusticeDAO, an entity focused on funding the legal defenses of Tornado Cash developers, voiced strong disapproval of the ruling. In a July 12 post on X, they termed the court’s decision a “gross miscarriage of justice.”

Pertsev’s Defense and Court’s Rebuttal

During his March trial, Pertsev contended that he should not be held accountable for the illicit actions of Tornado Cash users. However, the court dismissed this argument, stating that Pertsev and his co-founders could have implemented stronger security measures to thwart criminal exploitation of their platform.

This case continues to unfold, with significant implications for the intersection of technology, law, and individual accountability.