Samourai Wallet Case Faces Scrutiny After Allegations of Withheld Evidence

The legal battle against the creators of Samourai Wallet has taken a sharp turn, as defense attorneys accuse federal prosecutors of suppressing a key legal interpretation from the Treasury Department that could dismantle the core of the government’s case.

According to the defense, U.S. authorities charged Samourai’s founders—Keonne Rodriguez and William Hill—with operating an unlicensed money transfer service, despite internal guidance from FinCEN suggesting the company’s non-custodial wallet didn’t fall under money transmitter rules. That opinion, the attorneys argue, was kept under wraps for over a year.

The accused had long contended that their software, which enables anonymous Bitcoin transactions through CoinJoin, did not involve custodianship of funds and thus did not trigger licensing requirements.

They say the prosecution’s failure to disclose the FinCEN stance deprived them of a fair opportunity to seek bail, prepare a full defense, or seek early dismissal of charges.

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Adding to the controversy, the Justice Department recently issued new policy guidance instructing prosecutors to avoid using criminal cases to establish regulatory precedent—an approach the defense says contradicts the ongoing prosecution.

Rodriguez and Hill, both of whom have pleaded not guilty, now seek a formal hearing into what they describe as a clear-cut violation of their rights. They argue that the case may hinge more on shifting political priorities than clear legal grounds, especially with federal policy evolving around crypto mixers.

As pressure builds, the future of the Samourai case may rest less on past transactions and more on the government’s handling of its own evidence.

Alexander Stefanov

With over 8 years of experience in the cryptocurrency and blockchain industry, Alexander is a seasoned content creator and market analyst dedicated to making digital assets more accessible and understandable. He specializes in breaking down complex crypto trends, analyzing market movements, and producing insightful content aimed at educating both newcomers and seasoned investors. Alexander has built a reputation for delivering timely and accurate analysis, while keeping a close eye on regulatory developments, emerging technologies, and macroeconomic trends that shape the future of digital finance. His work is rooted in a passion for innovation and a firm belief that widespread education is key to accelerating global crypto adoption.