The founders of Samourai Wallet have entered guilty pleas in their high-profile legal case, with money laundering charges being dropped as part of the agreement. Keonne Rodriguez and William Lonergan Hill faced federal charges related to their privacy-focused cryptocurrency mixing service, which authorities alleged facilitated illicit transactions.
The plea agreement represents a significant development in the case that has drawn attention from privacy advocates and regulators alike. Rodriguez and Hill originally faced more serious charges including conspiracy to commit money laundering, which carried potential sentences of up to 20 years in prison.
Legal Resolution Brings Clarity
Under the terms of the plea deal, both defendants admitted to operating an unlicensed money transmitting business. The agreement eliminates the money laundering conspiracy charges, which were considered the most serious aspects of the federal case against the duo.
🚨 NEW: The Samourai developers – Keonne Rodriguez and William Lonergan Hill – have both pled guilty to count 2 of their indictment, the conspiracy to operate an unlicensed money transmitter business charge.
More details in the video below: pic.twitter.com/PZVpJtH9Pw
— Frank Corva (@frankcorva) July 30, 2025
Samourai Wallet gained popularity among cryptocurrency users seeking enhanced privacy features for their Bitcoin transactions. The service allowed users to obscure transaction histories through various mixing techniques, though prosecutors argued these same features enabled criminal activity.
Regulatory Implications for Privacy Tools
The case has broader implications for cryptocurrency privacy services and their operators. Federal authorities have increasingly scrutinized mixing services and privacy-focused tools, arguing they present risks for money laundering and sanctions evasion.
The resolution comes amid ongoing regulatory pressure on cryptocurrency privacy services. Several similar platforms have faced enforcement actions or shut down operations voluntarily to avoid legal complications with federal authorities.
Market Implications
The plea agreement may provide some regulatory clarity for the privacy-focused cryptocurrency sector, though continued scrutiny of mixing services remains likely. This development could influence how other privacy tool operators approach compliance with federal money transmission requirements.
Leave a comment