Miami man pleads guilty to promoting HyperFund scam, involving $1.8 billion
Odaily reported that Rodney "Bitcoin Rodney" Burton, a resident of Miami, Florida, USA, has pleaded guilty in federal court for his involvement in a cryptocurrency scam related to HyperFund. The case involves approximately $1.8 billion.
According to the Maryland federal prosecutor's office, Burton pleaded guilty to "conspiracy to operate an unlicensed money transmitting business." Between June 2020 and January 2022, he participated in promoting this Ponzi-structured project and profited approximately $7.85 million from it.
Law enforcement noted that HyperFund attracted investors with high-yield promises of "0.5% to 1% daily returns." However, there was no actual crypto mining or sustainable source of income. The funds essentially came from new investors, constituting a typical Ponzi scheme structure. The project began restricting withdrawals in 2021.
The U.S. Department of Justice stated that the project raised funds from investors globally, and was used during its operation for promotion and fund transfers, forming a large-scale cross-border wire fraud network.
Burton faces a maximum of 5 years in federal prison. His sentencing hearing is scheduled for July 23. Law enforcement agencies stated that the case was jointly investigated by the IRS Criminal Investigation Division and Homeland Security Investigations. (U.S. Department of Justice)
