US prosecutors are seeking the maximum five-year prison terms for Samourai Wallet developers Keonne Rodriguez and William Lonergan Hill, following their guilty pleas to conspiracy charges for operating an unlicensed money transmitter. The sentencing hearing is scheduled for November 6 and 7, 2025, in the Southern District of New York.
According to the government's sentencing memorandum, the developers designed Samourai's privacy features—Whirlpool and Ricochet—to help users obscure transaction trails, which prosecutors claim attracted criminal activity. They allege that over $237 million in illicit funds from drug trafficking, darknet markets, hacks, fraud, murder-for-hire schemes, and a child pornography site passed through the wallet.
In his letter to the court, Hill described prioritizing Bitcoin as digital cash for personal independence, stating that he studied FinCEN guidance and consulted lawyers who assured compliance since the wallet never held user funds. He expressed regret over marketing tactics and emphasized his belief in liberty and freedom from government overreach. Rodriguez echoed similar sentiments, noting his work helping victims trace stolen Bitcoin via tools like OXT.
The case mirrors the Tornado Cash prosecution, where developer Roman Storm was convicted in August 2025. Broader privacy debates continue, with Zcash emerging as a leading privacy coin amid increased interest, according to Google search data. The outcome could signal wider crackdowns on non-custodial privacy software.
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