Travis West on Nostr: Under current American law, users could use the service legally unless the funds the ...

Under current American law, users could use the service legally unless the funds the user was using are considered "illicit." So, if you had bitcoin you purchased from some exchange and you used the service to merely gain some privacy, that isn't a crime. I was a SW user myself.

Coordinated spending isn't a crime by itself, at least for now.

If you sold illegal drugs on a dark web market and withdrew the earnings to SW so you can hide the source of the funds, that would likely be considered money laundering.

Different laws will apply to the businesses/services that touch the funds.