- Samourai Wallet co-founder sentenced amid U.S. privacy crackdown.
- Five-year prison sentence for unlicensed crypto mixing.
- Bitcoin privacy tools face increased regulatory scrutiny.
Keonne Rodriguez, co-founder of Samourai Wallet, was sentenced to five years in U.S. federal prison on November 6, 2025, for operating an unlicensed cryptocurrency mixing service.
This sentencing marks a pivotal step in the U.S. government’s crackdown on crypto privacy tools, affecting Bitcoin and similar blockchain platforms with privacy-centric features.
Keonne Rodriguez, co-founder of the cryptocurrency-focused Samourai Wallet, was sentenced to five years in U.S. federal prison. This action represents a significant tightening of governmental policies against cryptocurrency privacy tools for laundering illicit funds. Founders of Samourai Wallet plead guilty to mixing service charges.
The involved parties include Rodriguez, CEO, and William Lonergan Hill, CTO, scheduled for sentencing next. The government alleges that their services actively promoted laundering and followed court admissions of illegal operations.
The immediate effects include heightened regulatory scrutiny on Bitcoin’s privacy transaction services. Additionally, this has driven a decline in privacy-focused transactions, impacting the broader crypto community’s sentiment.
The situation underscores substantial financial implications as more than 80,000 BTC flowed through the service, yielding $6 million in mixers’ fees. The crackdown aligns with global efforts to enforce tighter control on crypto privacy mechanisms.
The outcome of this case may serve to strengthen regulatory frameworks on Bitcoin privacy tools and impact market behavior. It could encourage similar law enforcement actions across international crypto markets targeting privacy-enhancing services.
“Rodriguez and Hill created and operated a cryptocurrency mixing service, Samourai Wallet, and used it to knowingly and intentionally help criminals launder their illicit proceeds.” – DOJ Statement
Historically, crackdowns such as Tornado Cash illustrate sustained reductions in privacy mixer usage. This action highlights the focus on tech developers creating anonymity-focused services beyond centralized exchange regulation, guiding future regulatory guidelines globally.
