#Encrypted Developers Sue Attorney General#

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Michael Lewellen, a researcher at cryptocurrency think tank Coin Center, has sued U.S. Attorney General Merrick Garland in Texas, asking a judge to assure the Justice Department will not prosecute his upcoming cryptocurrency project, Pharos, for violating the Money Transmission Act. Lewellen argues that the Justice Department’s criminal charges against software developers releasing non-custodial cryptocurrency software, such as the prosecution of Tornado Cash developer Roman Storm and Samourai Wallet co-founder Keonne Rodriguez, are unconstitutional, violating the First and Fifth Amendments. He believes the Justice Department's prosecutions of cryptocurrency developers “betray its representations to the public” that it would not consider them money transmitters unless they had “full independent control” over the transferred value. Lewellen's lawsuit comes amid growing concern about government persecution of crypto privacy software developers, both in the U.S. and abroad. If all charges related to the cryptocurrency mixing service stand, Storm faces up to 45 years in prison; Rodriguez faces up to 25 years for creating Samourai Wallet. Both plead not guilty and are due to stand trial this year. In the absence of clear cryptocurrency regulation and a legal framework, preemptive lawsuits like Lewellen's are becoming increasingly common.

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Michael Lewellen, a researcher at cryptocurrency think tank Coin Center, has sued U.S. Attorney General Merrick Garland in Texas, asking a judge to ensure the Justice Department won't prosecute his upcoming cryptocurrency project for violating money transmitting laws. Lewellen argues that the Justice Department's criminal prosecutions of software developers who release non-custodial cryptocurrency software, such as the prosecutions of Tornado Cash developer Roman Storm and Samourai Wallet co-founder Keonne Rodriguez, are unconstitutional, violating the First and Fifth Amendments. He believes the Justice Department's prosecution of cryptocurrency developers "betrays its statements to the public," that they will not be treated as money transmitters unless they have "complete independent control" over the value transferred. Lewellen's lawsuit comes amidst growing concerns about government persecution of crypto privacy software developers, both in the United States and abroad. Lewellen's lawsuit seeks to avoid the fate of Rodrigez and Storm, as his upcoming project, Pharos, is essentially a crypto-based Kickstarter that will use smart contracts to ensure that donors automatically receive their money back if the project is underfunded, and includes privacy features to prevent the identities of project donors from being disclosed. Lewellen, as the creator and publisher of the Pharos software, will only receive a predetermined fee if the project is successful, and he claims that he will "never control any cryptocurrency that passes through Pharos."

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The Department of Justice's criminal charges against cryptocurrency developers violate the Constitution, particularly the First and Fifth Amendments.

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The Department of Justice's indictment of cryptocurrency developers betrays its public statements that it would not prosecute developers as money transmitters unless they had 'complete and independent control' over the value transferred.

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The government's persecution of developers of cryptographic privacy software is escalating, both in the United States and abroad.

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In the absence of clear cryptocurrency regulation and legal frameworks, pre-emptive lawsuits like the one against Lewellen are becoming increasingly common.

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