In the magic world of LIFO Land, anything is possible.In Yesterday's proceedings against Tornado Cash developer Roman Storm, IRS Agent Stephan George saved a prosecution's witness whose testimony had come under fierce scrutiny for a lack of attribution to the Tornado Cash service.Hanfeng "Katie" Lin, the Government's opening witness who fell victim to a pig-butchering scam, had told the jury that a company called Payback told her that her life savings had disappeared into Tornado Cash, as well as into other exchanges, including Binance and Coinbase. An email which Payback asked Lin to send to Tornado Cash detailing how her funds allegedly wound up in Storm's service was consequently entered into evidence.The only problem: blockchain tracing experts, as well as exchange officials, suggest that Payback was wrong. Coinbase Chief Legal Officer Paul Grewal publicly denounced that Lin's funds were ever sent to Coinbase. On-chain sleuths Taylor Monahan and ZachXBT both retraced Lin's funds, and found no credible connection to Tornado Cash. Similarly, the financial intelligence firm Inca Digital told The Rage that it is "unlikely" that Lin's funds were connected to Storm's service. To add insult to injury, the Payback brand appears to be under current FBI investigation for... recovery fraud.Using an accounting method known as Last In First Out, or LIFO, Agent George set out to prove that Payback was right, and Lin did indeed have her funds disappear into Tornado Cash. With this, the Government was able to prevent a mistrial by keeping Lin's testimony on the record. But Agent George's methods have come under drastic public scrutiny.
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