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Baltimore Man Indicted for $1.8B Wire Fraud Scheme
Baltimore, Maryland – A federal grand jury has returned a superseding indictment charging Rodney “Bitcoin Rodney,” Burton, 56, of Miami, Florida, and Prince George’s County, Maryland, for his role as an alleged promoter of a $1.8 billion fraud scheme.
According to court documents, from June 2020 to May 2024, Burton and his co-conspirators conspired to enrich themselves by promoting HyperFund – a purportedly legitimate investment platform – and successor platforms. HyperFund’s promotional materials allegedly made various false claims, including claims that investors who purchased HyperFund “memberships” would receive between 0.5 and 1 percent daily in passive rewards until the company either doubled or tripled the investor’s initial investment.
Victims of the conspiracy included investors from Maryland. HyperFund allegedly attempted to convince investors that the cryptocurrency platform could make such payments by claiming that it would disburse payments, in part, from its revenues from large-scale crypto-mining operations. But the truth was, HyperFund did not have such operations.
Beginning in 2021, HyperFund allegedly started blocking investor withdrawals. The superseding indictment further alleges that Burton spent HyperFund investor proceeds on, among other things, luxury condominiums, sports cars, and a yacht.
Burton is charged with 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. If convicted, Burton faces a maximum sentence of 20 years in federal prison for conspiracy to commit wire fraud and for each count of wire fraud, 10 years in prison for each count of money laundering, and five years in prison for operating an unlicensed money transmitting business.
U.S. Attorney Kelly O. Hayes commended the IRS-CI and HSI-New York for their work in the investigation. Assistant U.S. Attorneys Spencer L. Todd and Christina A. Hoffman are prosecuting the federal case.
An indictment is not a finding of guilt. Individuals charged by indictment are presumed innocent until proven guilty at a later criminal proceeding.
For more information about the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, visit justice.gov/usao-md and justice.gov/usao-md/community-outreach.
Burton’s real full name is Rodney “Bitcoin Rodney” Burton, 56, of Miami, Florida, and Prince George’s County, Maryland. The exact criminal charges against Burton include 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. The city and state involved in the case are Baltimore, Maryland. The exact date of the indictment is not specified in the source.
The superseding indictment alleges that Burton and his co-conspirators conspired to enrich themselves by promoting HyperFund – a purportedly legitimate investment platform – and successor platforms. HyperFund’s promotional materials allegedly made various false claims, including claims that investors who purchased HyperFund “memberships” would receive between 0.5 and 1 percent daily in passive rewards until the company either doubled or tripled the investor’s initial investment.
The indictment also alleges that HyperFund attempted to convince investors that the cryptocurrency platform could make such payments by claiming that it would disburse payments, in part, from its revenues from large-scale crypto-mining operations. But the truth was, HyperFund did not have such operations.
The superseding indictment further alleges that Burton spent HyperFund investor proceeds on, among other things, luxury condominiums, sports cars, and a yacht.
Key Facts
- State: Maryland
- Category: Fraud & Financial Crimes
- Source: DOJ Press Release â†â€â€
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