Michaela
Samourai Wallet developer Keonne Rodriguez has been sentenced to five years in federal prison and ordered to pay $250,000 for operating a crypto-mixing service that laundered more than $200 million in illicit funds.
Key Points
- com/innercitypress/status/1986476952249880714
- In court, Rodriguez apologized for his actions and pledged that he would “never break the law again
- ” Rodriguez will surrender to authorities on December 19
According to Inner City Press, Southern District of New York Judge Denise Cote sentenced Rodriguez to 60 months in federal prison, followed by three years of supervised release, and ordered him to pay $250,000, representing 20% of his gross monthly income.
In court, Rodriguez apologized for his actions and pledged that he would “never break the law again.” Rodriguez will surrender to authorities on December 19.
Rodriguez’s sentencing followed months after he and fellow Samourai Wallet developer William Hill pleaded guilty to one count of conspiracy to operate a money transmitting business, admitting they were aware the platform was being used for illegal activity. In exchange, prosecutors dropped three more serious charges, including money laundering and sanctions violations, each carrying potential sentences of up to 20 years.
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The two developers were first charged in April 2024 and initially pleaded not guilty to operating an unlicensed money-transmitting business. Prosecutors allege their crypto-mixing service handled over $2 billion in illicit transactions, including funds connected to darknet marketplaces like Silk Road.
The sentencing of Rodriguez serves as a stark warning about the risks of misusing cryptocurrency technology. Federal authorities are closely monitoring the crypto space and have demonstrated their commitment to cracking down on illicit activities, including laundering money through wallets and mixing services.
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While crypto innovation provides users with freedom, privacy, and new financial opportunities, it also carries significant legal responsibilities. Individuals who exploit these tools for criminal purposes face severe consequences, emphasizing that the promise of digital finance does not exempt bad actors from accountability.
MICHAELA
Michaela is a news writer focused on cryptocurrency and blockchain topics. She prioritizes rigorous research and accuracy to uncover interesting angles and ensure engaging reporting. A lifelong book lover, she applies her passion for reading to deeply explore the constantly evolving crypto world.
