#Encrypted Developer Sues Attorney General#

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Michael Lewellen, a researcher at cryptocurrency think tank Coin Center, has filed a lawsuit in Texas against U.S. Attorney General Merrick Garland, asking a judge to ensure that the Justice Department will not prosecute his upcoming cryptocurrency project, Pharos, for violating money transmitting laws. Lewellen argues that the Justice Department's criminal prosecutions of software developers who release non-custodial cryptocurrency software are unconstitutional and violate the First and Fifth Amendments. He fears that the Justice Department's prosecution of cryptocurrency developers will persecute developers of crypto privacy software, citing the charges faced by Tornado Cash and Samourai Wallet developers as examples. Lewellen's lawsuit aims to avoid a similar fate and seeks to protect his project Pharos, a cryptocurrency-based Kickstarter platform that will use smart contracts to ensure donors automatically receive their funds back if the project is underfunded. Lewellen claims he will not control the cryptocurrency passing through Pharos, and therefore should not be considered a money transmitter.

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Coin Center, a cryptocurrency think tank, researcher Michael Lewellen has sued U.S. Attorney General Merrick Garland in Texas, asking a judge to guarantee that the Department of Justice (DOJ) will not prosecute his upcoming cryptocurrency project for violating the Money Transmission Act. Lewellen argues that the DOJ's criminal prosecution 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, is unconstitutional, violating the First and Fifth Amendments. He argues that the DOJ's prosecution of cryptocurrency developers "betrays its representations to the public" that it will not treat them as money transmitters unless they have "complete and independent control" over the value of the transfers. Lewellen's lawsuit comes amid growing concerns about government persecution of developers of crypto privacy software, both in the U.S. and abroad. Lewellen's upcoming project, Pharos, is essentially a cryptocurrency-based Kickstarter that will use a smart contract he calls a "guaranteed contract" to ensure that donors automatically receive their money back if the project is underfunded. The project will also have privacy features to prevent the identities of project donors from being disclosed. Lewellen is seeking to avoid the fate of Rodrigez and Storm through the lawsuit and avoid being prosecuted for creating the Pharos software.

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The Justice Department's criminal prosecution of cryptocurrency developers is unconstitutional, violating First and Fifth Amendment rights.

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The Justice Department's prosecution of cryptocurrency developers is unconstitutional because they have no control over the transfer of cryptocurrency.

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The government's persecution of cryptocurrency privacy software developers is escalating, both domestically and internationally.

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The lack of clear cryptocurrency regulations and legal frameworks has led to preemptive lawsuits like the one against Lewellen.

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