HyperFund Promoter ‘Bitcoin Rodney’ Pleads Guilty in $1.8 Billion Crypto Scam

Crypto Insight Summary: * HyperFund allegedly collected $1.8 billion from investors across multiple countries worldwide. * Burton received at least $7.85 million while helping facilitate the scheme, prosecutors said. * Authorities continue pursuing major crypto fraud cases involving large investor losses and misleading promises. Rodney Burton, also known as “ Bitcoin Rodney,” has pleaded guilty to a federal conspiracy charge stemming from his role in promoting HyperFund, a [cryptocurrency](http://www.bitcoin.com/get-started/a-quick-introduction-to-crypto/) investment scheme that U.S. prosecutors say defrauded investors of approximately $1.8 billion globally. Attorney’s Office for the District of Maryland announced on June 17 that Burton, 56, pleaded guilty to conspiracy to operate an unlicensed money transmitting business. According to court filings, Burton promoted HyperFund between June 2020 and January 2022 and participated in providing unlicensed money transmission services that facilitated the scheme’s operations. Federal prosecutors stated: > “HyperFund, which purported as a legitimate [cryptocurrency](http://www.bitcoin.com/get-started/a-quick-introduction-to-crypto/) investment platform, but in truth, was a global wire-fraud scheme that obtained $1.8 billion from victim-investors worldwide.” HyperFund presented itself as a [cryptocurrency](http://www.bitcoin.com/get-started/a-quick-introduction-to-crypto/) investment platform offering unusually high returns. Promotional materials promised investors daily rewards ranging from 0.5% to 1%, with the prospect of doubling or even tripling their initial capital. As the scheme became increasingly unsustainable, HyperFund reportedly began restricting and ultimately blocking investor withdrawals in 2021, leaving many participants unable to access their funds. Crypto Insight Analysis: Direction: Bearish BTC / Bearish ETH Impact: Minor Impact Horizon: Short-term (1-3 days) Reasoning: Major fraud case undermines crypto market trust, especially for retail investors.