Crypto promoter Rodney Burton, popularly generally known as “Bitcoin Rodney,” is dealing with new fees for his alleged position within the $1.8 billion HyperFund pyramid scheme. This improvement comes nearly two years after the US Division of Justice introduced prison fees towards two of the co-founders of the crypto Ponzi scheme.
In January 2024, the US DOJ charged Xue Lee (Sam Lee) and Brenda Chunga (Bitcoin Beautee) for his or her roles in HyperFund. In accordance with the prosecutors, the founders falsely claimed that the scheme’s buyers would obtain substantial returns paid from non-existent crypto mining operations.
The fraudulent scheme, which additionally drew the eye of the US Securities and Change Fee (SEC), collapsed in 2022, leaving buyers unable to withdraw their cash. The SEC filed a civil motion towards the founders, stating that HyperFund lacked any actual income supply other than buyers’ funds.
US DOJ Provides Wire Fraud Cost To HyperFund’s Promoter
On Friday, December 12, the US Lawyer’s Workplace for the District of Maryland introduced new indictment fees towards 56-year-old Burton for actively selling the fraudulent HyperFund scheme. The brand new fees embrace conspiracy to commit wire fraud, two counts of wire fraud, seven counts of cash laundering, and one depend of working an unlicensed cash transmitting enterprise.
The 56-year-old crypto promoter, who was initially dealing with two counts associated to unlicensed cash transmission, is now staring down at a protracted jail sentence if discovered responsible on all counts; a most of 20 years in federal jail for the wire fraud conspiracy and every wire fraud depend, 10 years for every cash laundering depend, and 5 years for the unlicensed cash transmission enterprise.
The superseding indictment additionally accused Burton of misappropriating buyers’ funds within the buy of luxurious apartment properties, sports activities automobiles, and a yacht. The crypto influencer managed to construct a crypto group following whereas internet hosting varied celebrities, together with Akon, Jamie Fox, and Rick Ross.
In accordance with court docket filings, Burton claimed that he was made to consider that he was working a official enterprise, inflicting him to mislead buyers. The crypto influencer’s trial is anticipated to start out by March 2026.
Crypto Market At A Look
As of this writing, the full cryptocurrency market is valued at round $3.05 trillion, reflecting a 0.2% soar prior to now 24 hours.
Whole crypto market cap on the each day timeframe | Supply: TOTAL chart on TradingView
Featured picture from Slaferek Regulation, chart from TradingView
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