Samourai Wallet Co-founder Pleads Innocence, Granted $1M Bond

Keonne Rodriguez, a figure linked to the cryptocurrency mixing service Samourai Wallet, has entered a plea of not guilty after facing charges of money laundering. Rodriguez was released on bail following an appearance at the U.S. District Court for the Southern District of New York on April 29.

The court set Rodriguez’s bond at $1 million, accompanied by restrictions on his movements. He is confined to his residence in Harmony, Pennsylvania, with limited travel permitted within parts of New York and Pennsylvania. Rodriguez is also required to wear a location monitoring device.

Additionally, the terms of his bail prohibit him from engaging in any cryptocurrency transactions without prior court approval. This includes any involvement with Samourai Wallet.

Rodriguez’s colleague, William Hill, who serves as the chief technology officer of Samourai Wallet, was also arrested on April 24 in Portugal. However, Hill has not yet appeared in a U.S. courtroom due to ongoing extradition proceedings. Rodriguez is scheduled for another court appearance on May 14.

Both individuals face serious charges, including up to 20 years in prison for money laundering and five years for conspiracy to operate an unlicensed money-transmitting business. The U.S. government has taken control of Samourai Wallet’s servers and domain in Iceland as part of the investigation.

These arrests are part of the U.S. government’s broader efforts to crack down on cryptocurrency mixers, which have been accused of facilitating money laundering activities by hacker groups and terrorists. Despite criticism from industry leaders and lawmakers, entities like Blender and Tornado Cash have faced sanctions from the U.S. Treasury Department’s Office of Foreign Asset Control.