Skip to main content

Samourai Wallet Founder Receives Four-Year Prison Sentence

Samourai Wallet Founder Receives Four-Year Prison Sentence
Crypto Crime • Regulation

Samourai Wallet Founder Receives Four-Year Prison Sentence

A major U.S. enforcement action targeting crypto privacy tools
Samourai Wallet founder sentenced to four years in prison

William Lonergan Hill, co-founder and former CTO of the privacy-focused Bitcoin application Samourai Wallet, has been sentenced to four years in U.S. federal prison after pleading guilty to operating an unlicensed money-transmitting business.

1. What Led to the Four-Year Sentence

Hill admitted that Samourai Wallet processed more than $237 million in illicit transactions tied to darknet markets, drug trafficking, fraud, and international cybercrime operations.

  • The platform’s “Whirlpool” mixer and “Ricochet” tools were key evidence.
  • Prosecutors argued the founders knowingly enabled criminal money flows.
  • Hill pleaded guilty earlier this year, leading to a reduced sentence.

2. What Prosecutors Said

U.S. authorities stated that Samourai Wallet “operated as a large-scale criminal money laundering platform under the guise of privacy.” Officials stressed that even non-custodial crypto tools can fall under money-transmitter laws when designed to obscure financial trails.

3. Impact on the Crypto Privacy Ecosystem

The case is widely seen as a major warning shot to developers of privacy-enhancing crypto services. This includes mixers, coinjoin systems, and anonymization tools.

  • Regulators are increasing pressure on privacy wallets.
  • Developers may face liability even without directly handling customer funds.
  • The case could influence future wallet design and compliance frameworks.

4. What Happens Next for Samourai Wallet?

The platform’s servers were seized earlier this year, and the app was removed from both Google Play and the project’s main website. Legal experts expect continued investigation into associated users and partners.

Related Articles

This article is for informational purposes only and is not financial or legal advice.

Labels:

Comments

Post a Comment

Popular posts from this blog

Create a Payza Account in Minutes: Step-by-Step Guide (Availability May Vary) Create a Payza Account in Minutes: Step-by-Step Guide Follow these quick steps to create, verify, and secure your Payza e-wallet. Note: Service availability and features can change—verify on the official site first. Signing up takes a few minutes—verification and security settings keep your wallet safer. Key takeaways Fast signup: Create an account with a valid email, then confirm and complete your profile. Verify early: Prepare ID + proof of address to unlock higher limits and withdrawals. Secure it: Enable 2FA, set strong passwords, and review notification settings. Contents Create Your Account Complete KYC Verification Harden Security (Highly R...
48 comments
Read more
Create a Paysera Account (Step-by-Step): IBAN, Card, Fees & Verification Create a Paysera Account (Step-by-Step): IBAN, Card, Fees & Verification Open your account, complete KYC, access your IBAN, order a card, and set strong security—everything you need to get started with Paysera. Create, verify, and secure your Paysera account to access IBAN transfers and card payments. Key takeaways Fast onboarding: Sign up, confirm email/phone, and complete KYC to unlock features. IBAN access: After verification, find your IBAN in the app/web and receive SEPA transfers (where supported). Card options: Order a physical/virtual card (availability varies by country); control limits and regions in-app. Contents 1) Create Your Account 2) Comp...
Post a Comment
Read more
FTX/Alameda Wrapped Tokens on Solana Are No Longer Redeemable: What It Means for soBTC & soETH FTX/Alameda Wrapped Tokens on Solana Are No Longer Redeemable: What It Means for soBTC & soETH A quick, clear explainer on how wrapped-token redemption works, what changed after FTX/Alameda’s collapse, and practical steps to reduce risk. When backing fails, wrapped tokens can lose redemption and deviate from their peg. Key takeaways Wrapped tokens like soBTC and soETH relied on redemption backing tied to FTX/Alameda. After bankruptcy, redemption mechanisms ceased , causing price dislocations on Solana. Holders should evaluate liquidity, contract risk, and official notices before acting. Contents What Happened Wrapped ...
Post a Comment
Read more