Rodney Burton, a Miami-based cryptocurrency promoter known online as “Bitcoin Rodney,” has faced a significantly expanded federal indictment in connection with his alleged role in a $1.8 billion HyperFund cryptocurrency scam, according to federal prosecutors. Burton is now facing 11 federal counts, according to a superseding indictment brought in the U.S. District Court for the District of Maryland, which covers the following: conspiracy to commit wire fraud, two counts of wire fraud, seven counts of money laundering, and one count of operating an unlicensed money transmitting business. Cryptocurrency services have suffered nearly $3 billion in theft so far in 2025, making this year already more devastating than the entirety of 2024. The DPRK’s $1.5 billion hack of ByBit, the largest single hack in crypto history, accounts for the majority of service losses. By the end of June 2025, 17% more value had been stolen year-to-date (YTD) than in 2022, previously the worst year on record. If current trends continue, stolen funds from services could eclipse $4 billion by year’s end. Expanded federal indictment hits Bitcoin Rodney with 11 charges If convicted on all counts, Burton faces a maximum of 20 years in prison in federal courts for the wire fraud conspiracy and each wire fraud count, plus 10 years for each money laundering count and five years for the unlicensed money transmission offense. The charges represent a significant escalation from Burton’s original criminal complaint, filed in January 2024, which consisted of two counts linked to unlicensed money transmission, each carrying a maximum sentence of five years to be served. Burton was arrested in January 2024 at Miami International Airport carrying a one-way ticket to the United Arab Emirates, and has been detained since a federal judge refused his bail request because he constituted an “extreme flight risk.” $1.8B HyperFund scheme allegedly funded luxury lifestyle, not mining From June 2020 to May 2024, Burton and his co-conspirators managed HyperFund, which prosecutors claimed was a legitimate cryptocurrency investment platform known as HyperVerse, according to court documents. The scheme purportedly offered investors daily returns of 0.5% to 1%, intending to nearly double or triple their initial investments, claiming that investments could be made in vast crypto mining operations. It was a facade, prosecutors say, those mining operations didn’t operate. A superseding indictment alleges that Burton spent proceeds from investors on luxury condominiums, sports cars, and a yacht. Burton’s trial is set for March of next year. Burton maintained an enormous profile in the crypto community, hosting a 2021 Miami event featuring Shark Tank’s Daymond John and singer Akon, and made regular appearances on social media alongside notable figures like Jamie Foxx and Rick Ross. According to court documents, there has been one prior conviction for conspiracy to distribute cocaine. He told court papers that he considered this a bona fide business. Co-founder and Australian entrepreneur Xue Lee, or Sam Lee, he said, constructed an “elaborate deception” to deceive both his investors and Burton himself. Lee and promoter Brenda “Bitcoin Beautee” Chunga were charged with fraud and unregistered security offerings by the SEC in January 2024. Earlier reports indicate that Chunga has agreed to plead guilty, while Lee is still at large. The smartest crypto minds already read our newsletter. Want in? Join them .
