Samourai Wallet co-founder sentenced to five years in prison

**Samourai Wallet Founder Sentenced to Five Years in Prison**

The founder of Samourai Wallet, Keonne Rodriguez, has been sentenced to five years in federal prison after pleading guilty to a conspiracy charge. This sentencing comes about a year and seven months after his arrest, marking a significant moment in the ongoing legal scrutiny of privacy-focused cryptocurrency projects.

Samourai Wallet was co-founded by Keonne Rodriguez and William Lonergan Hill in 2015, aiming to provide a Bitcoin wallet with enhanced privacy features. In April 2024, both Rodriguez and Hill were arrested and subsequently indicted by the U.S. government. The authorities argued that Samourai Wallet operated without registering as a money transmitting business with the Financial Crimes Enforcement Network (FinCEN) and failed to implement effective anti-money-laundering (AML) and “know your customer” (KYC) protocols.

According to prosecutors, between 2015 and April 2024, Samourai Wallet processed approximately $237 million in illicit funds. On July 30, 2025, both Rodriguez and Hill pleaded guilty to conspiracy to operate an unlicensed money-transmitting business.

On November 6, 2025, Judge Denise L. Cote sentenced Keonne Rodriguez to 60 months (5 years) in federal prison, which is the statutory maximum for the charge. Rodriguez was also ordered to pay a fine and will be subject to supervised release once his prison term ends.

During sentencing, Judge Cote rejected Rodriguez’s defense of privacy tools, emphasizing their failure to address the real-world consequences of facilitating criminal transactions. She also noted that his expressed remorse did not sufficiently acknowledge the human suffering caused by his actions.

This verdict spells troubling news for privacy advocates and others facing similar charges, including developers of the Tornado Cash platform—another privacy tool designed for transmitting funds.

The outcome of this case raises concerns over the U.S. government’s approach to digital asset innovation. While authorities have spoken of supporting innovation alongside enforcing regulations, the crackdown on crypto-mixers and privacy-enhancing tools—especially when they are linked to illicit activity—suggests that privacy technology in crypto may face ongoing legal challenges.

Privacy advocates argue that open-source privacy tools are vital for protecting financial freedom and human rights, but the case of Samourai Wallet highlights the tension between technological advancement and regulatory compliance in the crypto industry.

*Editor’s Note: No investment or legal advice is given in this article. Always conduct your own research before participating in the cryptocurrency ecosystem.*
https://bitcoinethereumnews.com/finance/samourai-wallet-co-founder-sentenced-to-five-years-in-prison/

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