Rodney Burton, widely known in the cryptocurrency community as “Bitcoin Rodney,” has pleaded guilty to his role in the massive HyperFund crypto fraud case. U.S. authorities say the scheme collected nearly $1.8 billion from investors worldwide, making it one of the largest cryptocurrency fraud cases in recent years.
Burton entered his guilty plea on June 15 in federal court. He admitted to conspiracy to operate an unlicensed money-transmitting business, according to the U.S. Department of Justice.
HyperFund Promised High Returns
HyperFund, which also operated under names such as HyperVerse and HyperNation, attracted investors by promoting membership packages tied to cryptocurrency investments. The platform claimed users could earn daily returns between 0.5% and 1%.
Promoters also suggested that investors could double or even triple their deposits over time. However, prosecutors say these promises relied on claims about large-scale crypto mining operations that never existed.
Federal investigators allege the scheme raised approximately $1.9 billion from investors between 2020 and 2022.
Key allegations include:
- Promised daily returns that appeared unusually high
- Claims of cryptocurrency mining operations that were not real
- Heavy reliance on recruiting new investors
- Restrictions on withdrawals beginning in mid-2021
Authorities Continue Pursuing Key Figures
Court records show Burton previously faced additional charges, including wire fraud conspiracy, wire fraud, and money laundering. Prosecutors claim he played a major role in promoting HyperFund and helping move investor funds through the network.
The investigation has already resulted in guilty pleas from other individuals connected to the operation. Promoter Brenda Chunga previously admitted her involvement, while alleged co-founder Sam Lee continues to face both criminal and civil actions.
Crypto Fraud Remains a Regulatory Focus
The U.S. Securities and Exchange Commission has described HyperFund as a large-scale crypto pyramid scheme that raised more than $1.7 billion globally.
The case highlights ongoing efforts by regulators and law enforcement agencies to crack down on cryptocurrency investment programs that promise unrealistic returns. As authorities continue pursuing remaining defendants and recovery efforts, the HyperFund case remains a major example of the risks tied to unregulated crypto investment schemes.
