Bitcoin

Samourai Wallet Co-Founders Arrested on Money Laundering Charges

Published

7 months ago

April 30, 2024

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The US Division of Justice has arrested the co-founders of the Samourai Pockets on costs of cash laundering and working an unlicensed cash switch enterprise.

The platform’s CEO, Keonne Rodriguez, and the Chief Expertise Officer, William Lonergan Hull, are being accused of facilitating $2 billion in unlawful transactions. They’re additionally charged with cash laundering on the darkish internet.

At the moment, the #FBI, IRS, and companions arrested the founders of the Samourai Pockets cryptocurrency service, which allowed criminals to launder over $1.7B in funds. Learn extra about FBI Cyber’s persevering with mission to close down fraudulent crypto companies. https://t.co/zUBgiSLhjP

— FBI (@FBI) April 24, 2024

In line with the fees, the 2 “knowingly facilitated the laundering of over $100 million in prison proceeds from Silk Highway, Hydra Market, and a bunch of different laptop hacking and fraud campaigns.”

The prosecution additionally mentions “Whirlpool,” a crypto mixing service provided by Samourai. It says that the duo inspired criminals to launder cash on the platform via a non-public message on X (Twitter).

Rodriguez was arrested within the US, and is about to look earlier than a Pennsylvanian decide. The US authorities can be in search of the extradition of Hill, who was arrested in Portugal. The Samourai Pockets app has additionally been taken down from the Google Play Retailer.

Crypto Market Dumps

The information of the arrest of the Samourai Pockets co-founders triggered market panic that noticed Bitcoin and several other altcoins register value dips.

BTC is down 3.78% within the final 24 hours to commerce at $63,971 at 08:19 EST. The biggest altcoin, Ether, has additionally posted a 4.61% value dip to commerce at $3,128.

The biggest memecoin, DOGE has seen a 7.5% value drop whereas PEPE is down by practically 5% and WIF plunged by over 15%.

The value decline has seen $208 million price of lengthy positions being liquidated from the crypto market within the final 24 hours, based on Coinglass.

Some within the crypto neighborhood criticized the arrests, saying the 2 builders could go to jail for merely writing code.

The builders of Samourai had been arrested this morning.

One extradited from Portugal.

Samourai is a bitcoin pockets that makes bitcoin personal.

These builders resist 25 yrs in jail for writing code.

The US is sending a message.

No transaction might be personal. pic.twitter.com/GupLtMuHD8

— RYAN SΞAN ADAMS – rsa.eth 🦄 (@RyanSAdams) April 24, 2024