Crypto has often been called the ‘digital wild west’ due to its volatility and association with criminal activity. The case surrounding Samourai Wallet reinforces this image. It’s a mobile Bitcoin (BTC) wallet exclusively available to Android users. One of its founders has been convicted for operating a crypto mixing service.
According to prosecutors, William Lonergan Hill (37) helped criminals launder millions of dollars. His former colleague, Keonne Rodriguez (67), received a maximum prison sentence of five years a few weeks ago.
Trial in New York #
Hill was the chief technology officer at Samourai, which did not appear to take the law very seriously. Last Wednesday, he heard his sentence in the U.S. District Court for the Southern District of New York: 4 years in prison.
He and his colleague pleaded guilty in July. This came after Hill and Rodriguez had previously declared their innocence.
Prosecutor Nicolas Roos stated that these heavy sentences send a clear message to money launderers. This crime has serious consequences, regardless of the technology used. It also does not matter whether the laundering involves crypto or fiat money.
The court also sentenced Rodriguez and Hill to three years of supervised release and a fine of $250,000. In addition, the pair had already paid more than $6.3 million through forfeitures.
Evidence in the Trial #
In August, prosecutors alleged that the Samourai app was intentionally designed and operated as a service to funnel criminal proceeds. According to them, the two developers knew very well that their app was being used to obscure these funds.
During the trial, prosecutors also presented evidence that Hill promoted the Samourai app on the darknet as a way to launder “dirty bitcoin”—bitcoins originating from criminal activities.
Crypto mixers have been on prosecutors’ radar since the developer of Tornado Cash was charged with money laundering in 2023. Roman Storm was also accused of sanctions evasion and potentially running an unlicensed money-transmitting business.
Last August, Storm was found guilty of the latter charge, but the jury did not find the sanctions evasion and money laundering charges proven.
This was followed by various expressions of support, such as that of Matthew J. Galeotti of the U.S. Department of Justice. He stated that writing code is not a crime, a sentiment with which the company behind Ethereum fully agreed on X:
Privacy is normal, and writing code is not a crime. https://t.co/BD55K5GDW3
— Ethereum (@ethereum) August 7, 2025
Rodriguez’s Response #
In a post on X, Rodriguez writes that he is going to prison in 30 days. He asks for public support to persuade President Trump to grant him a presidential pardon.
Developers should not be held responsible for the misuse of their software by criminals.