President Donald Trump said he is considering a pardon for Keonne Rodriguez, CEO of the privacy-focused Bitcoin wallet Samourai, who was sentenced last month to five years in federal prison for money laundering charges.
This statement reignited the discussion about privacy technology in cryptocurrencies. It also raised questions about whether other convicted developers, such as Roman Storm of Tornado Cash, could receive a presidential pardon in the future.
Appeals for new pardons face market frustration
At a press conference on December 15, a reporter asked Trump about Rodriguez. The reporter noted that the case began during the Biden administration but continued under his Justice Department. Trump responded: “I’ve heard about it. I’m looking into it.” The president added that he would consider the case after the reporter mentioned the broad support for a pardon from the crypto community.
Rodriguez, 37, and another founder, William Lonergan Hill, 67, were convicted of operating a cryptocurrency mixing service. According to prosecutors, the duo enabled the laundering of over $237 million in criminal proceeds. Rodriguez received five years in prison, Hill four, and both were ordered to pay $250,000 in fines.
The announcement elicited mixed reactions. Some supporters hoped that the decision would bring a new atmosphere to crypto-friendly politics. One X user even called for a pardon for Do Kwon, the founder of the collapsed Terra/Luna ecosystem.
Critics, however, referred to broader market developments during Trump's presidency. During his term, the prices of major cryptocurrencies have significantly dropped, and some tokens have fallen by over 70%.
The prosecutor's case against the simple developer narrative
The Department of Justice presented evidence that challenged the portrayal of Rodriguez and Hill as mere developers of privacy tools. According to the sentencing memorandum issued on November 19, prosecutors showed that the founders actively marketed their services to criminal users.
Hill allegedly advertised on a darknet forum called Samurai Dread, responding directly to a user seeking “sure ways to clean dirty BTC,” recommending Whirlpool as the best option. Rodriguez encouraged Twitter hackers in 2020 to funnel stolen funds through the mixing service and expressed disappointment when hackers used a competitor's service.
Rodriguez's own description of mixing as “money laundering for bitcoin” in WhatsApp messages was considered particularly incriminating. Meanwhile, the company’s marketing materials admitted that the target audience was “Dark/Grey Market operators” transferring funds of criminal origin.
According to prosecutors, the criminal funds that flowed through Samourai were derived from drug trafficking, darknet marketplaces, cyber intrusions, fraud, sanctioned countries, murder-for-hire schemes, and a child pornography site.
Wider implications
The case has sparked a debate about developers' responsibility for users' actions on decentralized platforms. Privacy advocates believe the indictment creates a dangerous precedent for open-source software development, while law enforcement views inciting criminal use as a legal boundary crossing.
There has been speculation online about whether a pardon could also be possible for Roman Storm, the Tornado Cash developer who was convicted in August of similar charges. Storm was found guilty of conspiracy to operate an unlicensed money transmitting business. The jury did not reach a unanimous agreement on more serious money laundering and sanctions violations.
Congress is still discussing the regulation of cryptocurrencies. Legislators are drafting several bills aimed at clarifying the status of privacy-enhancing technologies, but no laws have yet been passed.
Trump has previously pardoned several individuals from the crypto world, including Binance CEO Changpeng Zhao and Silk Road founder Ross Ulbricht, laying the groundwork for speculation about future pardons in this sector.
