The purpose of kicking puppies is not embedded in the concept of a Nike sneaker.

No, in this analogy the punishment is aimed at Nike employees who after creating a shoe for kicking puppies also operated puppy-kicking-as-a-service with that shoe.

The people charged are the subset of the Tornado Cash devs who ran the service, not for solely developing some code.

Creating a shoe specifically designed for kicking puppies with enhanced puppy kicking features and instructions on how to kick puppies with said shoe