Eleanor Terrett: US Court Reveals Investment Details Between Dragonfly and Tornado Cash, Related Issues Settled Yesterday

According to ChainCatcher, crypto journalist Eleanor Terrett disclosed the latest updates on the Tornado Cash case on social media, revealing that issues concerning the relationship between Dragonfly and the founders of Tornado Cash were resolved yesterday. Court documents revealed several key facts:

• In August 2020, Dragonfly invested $900,000 in Tornado Cash;
• In return, they received the right to purchase network tokens, ultimately acquiring 5% of the TORN token supply issued in December 2020;
• In August 2022, Dragonfly sold part of its holdings, earning over $4 million in cryptocurrency.

As previously reported by ChainCatcher,in response to news that the U.S. Department of Justice was considering charges against Dragonfly employees in the Tornado Cash case, Dragonfly partner Haseeb stated: “Monday’s court records show that the DOJ has clarified that media reports about plans to sue Dragonfly are inaccurate, and neither Dragonfly nor any of its key principals are subjects of their investigation. As an investor, Dragonfly could potentially face prosecution simply for supporting an open-source privacy technology—this is not only unprecedented, but also clearly violates DOJ policy.”