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According to a post by Amanda Tuminelli, Chief Legal Officer of the DeFi Education Fund, the U.S. Department of Justice has decided to conduct a retrial of Tornado Cash co-founder Roman Storm this fall.In the previous trial, the jury was unable to reach a consensus on the charges of money laundering and sanctions violations, only convicting him of operating an unlicensed money transfer business. Despite significant errors by the prosecution in the first trial, including calling irrelevant witnesses, failing to understand their own forensic analysis of blockchain evidence, and legal and logical flaws in the third-party developer liability allegations, the U.S. Attorney's Office for the Southern District of New York has still decided to retry the first and third charges in the indictment.

According to monitoring by PieShield, the wallet address of the Aperture Finance attacker transferred 1242.7 ETH (approximately 2.4 million USD) to Tornado Cash.Previously, it was reported that Aperture Finance was attacked on January 25, 2026, affecting its V3/V4 contracts and resulting in a loss of approximately 3.67 million USD.

New York Attorney General Letitia James, along with four local district attorneys in the state, recently sent a letter to several Democratic lawmakers criticizing the "GENIUS Stablecoin Act," which was signed into law by Trump last year, for significant flaws in consumer protection, particularly its failure to require stablecoin issuers to return stolen funds in the event of theft.The letter specifically names Tether (USDT) and Circle (USDC), arguing that the two major stablecoin issuers can still earn interest on related assets after funds are stolen, while victims lack effective recourse. New York prosecutors pointed out that although the act grants stablecoins greater "legitimacy endorsement," it does not simultaneously strengthen key regulatory requirements such as anti-terror financing, anti-money laundering, and prevention of crypto fraud. The GENIUS Act is currently entering the implementation phase, requiring stablecoins to be fully backed by U.S. dollars or highly liquid assets and mandating annual audits for issuers with a market capitalization exceeding $50 billion. However, New York prosecutors believe these measures are still insufficient to address the widespread use of stablecoins in illegal fund transfers.According to Chainalysis data, approximately 84% of illegal crypto transaction volume will involve stablecoins by 2025, prompting New York to call for further strengthening of the regulatory framework to better protect consumer rights.

Six U.S. Senators, including Mazie K. Hirono, Elizabeth Warren, and Richard Durbin, sent a letter to Deputy Attorney General Todd Blanche on January 28, questioning his decision to dissolve the Department of Justice (DOJ) National Cryptocurrency Enforcement Team (NCET) in April 2025.The senators pointed out that although Todd Blanche claims the DOJ should not act as a regulator of digital assets, he himself held cryptocurrencies valued between $158,000 and $470,000 at the time of making that decision, which constitutes a clear conflict of interest and may violate federal laws regarding personal financial interests. The senators previously referred to the shutdown of the department as a "serious mistake," believing it would facilitate criminal activities such as sanctions evasion, drug trafficking, and fraud.The letter cited data showing that illegal cryptocurrency activities surged by 162% in 2025, primarily driven by a significant increase in cryptocurrencies received by sanctioned entities, and that money laundering networks have become a "dominant force" in the digital asset space. The senators believe that Todd Blanche's actions may violate the provisions of federal law 18 U.S.C. § 208(a) concerning the influence of personal financial interests on public decision-making. Currently, Todd Blanche has been named as a subject of a complaint by the DOJ Office of the Inspector General.

According to Pie Shield monitoring, the hacker John (Lick), suspected of participating in the $90 million theft from the U.S. government in 2024, has begun depositing funds into Tornado Cash, with 11,037 ETH (approximately $33 million) already transferred to the mixer.Pie Shield stated that this individual is also related to a series of thefts targeting unidentified victims between November and December 2025.

According to Onchain Lens monitoring, after a year of silence, the Coinbase Commerce hacker (0xFe7...06F8) exchanged 5.9 million DAI for 2,038 ETH at a price of $2,894, and then transferred this batch of ETH through Tornado Cash.

According to market news, multiple Tornado Cash deposits have been identified in the Saga hacking incident. Before entering Tornado Cash for mixing, approximately 6.2 million dollars of stolen funds were first concentrated and dispersed into 5 wallet addresses, and then transferred through multiple transactions.

According to on-chain analyst Specter, the Huione Group in Cambodia has been continuously transferring tokens from associated addresses over the past 15 hours. As of now, a total of 1,017 ETH and 212 BNB have been deposited into Tornado Cash, worth approximately $5.19 million. The tokens in the associated wallet have been mostly emptied.

According to Decrypt, Manhattan District Attorney Alvin Bragg urged New York state lawmakers to classify unlicensed cryptocurrency businesses as a criminal offense and called for enhanced law enforcement tools to combat crypto crime.Bragg warned that a criminal economy worth $51 billion is thriving in regulatory blind spots, allowing criminals to launder money from guns, drugs, and fraud without punishment. He specifically pointed out that unlicensed crypto ATMs, which charge fees of up to 20% to convert cash into digital assets, are one of the main issues. He argued that all crypto businesses must be subject to mandatory licensing and comply with Know Your Customer (KYC) regulations, with violators facing criminal liability. If the proposal is passed, New York will become the 19th state in the U.S. to criminalize unlicensed crypto operations.

According to monitoring by the crypto regulatory technology company Bitrace, the TornadoCash business address generated a total income of 693,412 ETH tokens during 2025, with a total value of approximately 2.5 billion USD; in USD terms, the protocol had a net inflow of funds amounting to 1.4 billion USD in 2025, with the inflow dominated by ETH tokens, indicating that at least in the Crypto-native sector, industry participants' demand for privacy transfers in Ethereum exceeds that for stablecoins.Furthermore, the data above shows that after experiencing the OFAC sanctions turmoil, the protocol still maintains a certain level of industry influence.

According to Lookonchain monitoring, the Truebit hacker (0x743...9fE) has deposited all 8,535 stolen ETH into Tornado Cash for money laundering, with a total value of approximately 26.44 million USD.

According to crypto analyst Cryptosolv, the TVL of the 100 ETH pool on Tornado Cash has decreased by 40% in the past week, with 120,600 ETH transferred.In response, Onchain Lens stated that the related address belongs to crypto developer Richard Heart, and this wallet may be associated with his new project ProveX. Over the past 4 months, he has transferred 162,937 ETH through Tornado.Public information shows that ProveX aims to achieve completely trustless, peer-to-peer (P2P) cryptocurrency transactions and settlements using Zero-Knowledge Proofs technology.

According to on-chain analyst Yu Jin's monitoring, the calculation verification platform Truebit was hacked two days ago, resulting in the theft of 8,535 ETH due to a vulnerability. The hacker laundered the funds ($26.36 million) through Tornado Cash.

Vitalik Buterin expressed support for Tornado Cash developer Roman Storm. Roman Storm was convicted in 2025 for conspiring to operate an unlicensed remittance business and is currently facing up to five years in prison. In his letter, Vitalik Buterin emphasized that privacy tools are a necessary defense against systemic data exploitation and revealed that he has used the software multiple times to support human rights charities.As of 2026, Roman Storm's legal defense fund raised over $6.39 million in 2025. Previously, Vitalik Buterin donated 50 ETH, worth approximately $170,000, in 2024. The Ethereum Foundation also donated $500,000 in 2025 and pledged to provide up to $750,000 in matching donations for community contributions. Currently, global law enforcement actions against privacy-focused crypto tools are escalating, and the founder of Samourai Wallet was also sentenced to four to five years in prison in 2025.

According to MistTrack monitoring, the attacker responsible for the Upbit hack, which resulted in a loss of approximately $36 million (address starting with 0x93A0), is continuously transferring funds to Tornado Cash. So far, 1,400 ETH has been transferred.

CertiK Alert stated that suspicious transactions were detected in the Fusion PlasmaVault contract. During a withdrawal call, the newly configured "fuse" contract transferred all funds (approximately $267,000) to the EOA address 0x9b1b, which then cross-chain transferred the funds to Ethereum and deposited them into Tornado Cash.

According to MLM monitoring, among the wallet address clusters associated with Tornado Cash, the first batch of 262,400 HYPE (approximately 6.9 million USD) has been unlocked (unstaked) and has immediately begun to be sold off.Previously, on January 2, after being silent for over 12 months, the aforementioned entity unstaked 631,889 HYPE (approximately 20.3 million USD) within 3 days through 3 different wallets. All HYPE held by this entity was purchased within three weeks after the TGE ended, and the funds came from Tornado Cash. Its total holdings exceed 4.36 million HYPE, and the amount unstaked this time accounts for about 14% to 15% of its total holdings.

According to CertiK monitoring, the address starting with 0xc946 deposited 1,337.1 ETH (approximately 3.9 million USD) into Tornado Cash. The source of funds for this address may involve suspicious withdrawals of Wrapped ETH and Story tokens from compromised multi-signature accounts.

According to CertiK Alert monitoring, an attacker deposited 95 ETH into Tornado Cash, worth approximately $280,000.Previously, an uninitialized EIP-7702 delegate contract was initialized, granting the attacker the owner role, who then withdrew all funds from the delegator's address.

Confidential computing network Arcium member @milianstx posted that using Tornado Cash can result in user wallets being flagged across hundreds of applications, rendering these applications unusable.@milianstx calls on users not to mix their funds with North Korean hackers.