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US Prosecutors Seek 5-Year Prison Terms for Samourai Wallet Founders

Prosecutors alleged that Rodriguez and Hill developed and marketed a crypto mixing service that helped launder hundreds of millions in criminal proceeds.

Samourai

United States prosecutors are requesting a five-year sentence for Keonne Rodriguez and William Lonergan Hill, the founders of Samourai Wallet.  The duo pleaded guilty in July 2025 to conspiring to operate an unlicensed money-transmitting business connected to Samourai Wallet.

5-Year Prison Sentence for Samourai Wallet Founders

According to prosecutors, Rodriguez and Hill developed and marketed a crypto-mixing service that helped launder hundreds of millions in criminal proceeds. 

“For nearly a decade, Rodriguez and Hill owned and operated a massive money laundering service known as ‘Samourai Wallet,’ which laundered millions of dollars in criminal proceeds on behalf of its customers,” the filing said.

They further argued that the duo were not passive developers. Instead, they actively marketed the service to criminal users and knowingly profited from it. Over the years, criminals laundered at least $237 million in illegal proceeds through Samourai between 2015 and April 2024. 

The funds came from drug trafficking, darknet markets, cyber intrusions, fraud, murder-for-hire schemes, and a website distributing illicit material involving minors. During this period, Rodriguez worked as co-founder and CEO of Samourai, while Hill served as co-founder and CTO.

Moreover, authorities said Hill acknowledged this in his sentencing letter. He admitted that he had encouraged hackers and other criminals to use Samourai to launder their illicit profits. The probation office suggested a sentence of about 42 months. But prosecutors argued that only a full five years would properly deter others from engaging in similar conduct. This development signals a strong enforcement against privacy-focused crypto tools.

From Privacy to Prosecution

The case dates back to 2015, when Rodriguez and Hill launched Samourai Wallet. They designed the mixing service, known as Whirlpool, to anonymize cryptocurrency transactions. This makes it difficult for law enforcement to track illicit activity. The service allegedly laundered over $100 million in criminal proceeds, including funds from darknet markets like Silk Road.

In April 2024, the U.S. Department of Justice announced formal charges against the two men. By July 2025, both had admitted guilt to the charge of conspiring to operate an unlicensed money-transmitting business. In doing so, they accepted responsibility for their roles in managing a service that prosecutors called a “haven” for illicit funds. Meanwhile, Rodriguez is set to be sentenced on November 6, while Hill’s sentencing is scheduled for November 7.

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Faith

Faith is a dedicated content writer who is focused on expanding her interest and knowledge about cryptocurrencies and blockchain technology. In her free time, she enjoys listening to music, reading, and traveling.