- Bitcoin Rodney admitted guilt after promoting HyperFund and facilitating transfers.
- HyperFund promised daily returns while prosecutors disputed claimed mining.
- FBI reported $11.4 billion in crypto fraud losses during 2025.
Rodney “Bitcoin Rodney” Burton has pleaded guilty to a federal conspiracy charge tied to HyperFund, a cryptocurrency investment scheme that prosecutors said raised $1.8 billion from investors around the world. According to the U.S. Attorney’s Office for the District of Maryland, Burton admitted that he helped promote the platform and facilitated the movement of investor funds through businesses linked to the operation.
Federal prosecutors said Burton conspired to provide unlicensed money-transmitting services while HyperFund operated between 2020 and 2022. Authorities alleged that several entities presented as consulting firms actually served as payment channels that processed funds flowing into the scheme. Court documents show Burton received at least $7.85 million in proceeds connected to HyperFund. His guilty plea marks another significant development in the government’s effort to pursue individuals involved in large-scale crypto fraud operations.
HyperFund marketed memberships that promised investors daily passive returns ranging from 0.5% to 1%. Promotional materials also claimed participants could eventually receive two or three times their initial investment. Moreover, the platform told investors that large-scale cryptocurrency mining activities generated the revenue needed to support those returns. Prosecutors, however, said no such mining operations existed.
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HyperFund Investors Faced Growing Withdrawal Problems
Authorities said HyperFund continued attracting new participants while promoting the prospect of consistent returns. The platform expanded rapidly through promoters who encouraged investors to purchase memberships and recruit others into the program.
However, signs of trouble emerged as users began reporting difficulties accessing their funds. Withdrawal restrictions reportedly started appearing in 2021, preventing many participants from recovering their investments.
Prosecutors alleged that the operation relied on incoming investor funds while continuing to market attractive earning opportunities. Consequently, losses increased as more people entered the scheme before its collapse.
Sentencing Scheduled for July
Burton now faces a maximum sentence of five years in federal prison for the conspiracy charge. U.S. District Judge Richard D. Bennett is scheduled to sentence him on July 23. The case comes as crypto-related fraud continues generating billions of dollars in reported losses. According to the FBI’s Internet Crime Complaint Center report released in April, cryptocurrency-related losses reached $11.4 billion during 2025.
Additionally, the bureau received 181,565 crypto-related complaints, representing a 21% increase from the previous year. Investment scams accounted for $7.2 billion of those losses across 61,559 complaints. The FBI also reported an average loss of $62,604 per complaint. Those numbers highlight the financial damage that investment-related crypto fraud continues to inflict on victims across the United States.
In conclusion, Burton’s guilty plea adds to a growing list of enforcement actions targeting promoters and operators linked to major cryptocurrency investment schemes.
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