Crypto Promoter Bitcoin Rodney Faces 11 Federal Counts in HyperFund Case
What Do the New Charges Against Rodney Burton Include?
Rodney Burton, the crypto promoter known as “Bitcoin Rodney,” is facing a far broader set of federal charges tied to the alleged $1.8 billion HyperFund scheme. A superseding indictment filed by the U.S. Attorney’s Office for the District of Maryland adds wire fraud conspiracy, two counts of wire fraud, seven counts of money laundering, and a charge for operating an unlicensed money transmitting business.
Burton, 56, now faces up to 20 years in federal prison for each wire fraud count, 10 years for each money laundering count, and five years for the money transmission charge. The escalation is a sharp departure from the original January 2024 complaint, which included only two unlicensed money transmission counts with a maximum of five years each.
Burton was arrested in January at Miami International Airport while holding a one-way ticket to the United Arab Emirates. A federal judge denied bail, calling him an “extreme flight risk,” and he has remained in custody since.
Investor Takeaway
Federal prosecutors are expanding their focus beyond unlicensed activity to full-scale fraud and money laundering tied to HyperFund's alleged payout structure and investor losses.
What Was HyperFund and How Did Prosecutors Describe the Scheme?
The indictment outlines how Burton and others promoted HyperFund — also marketed as HyperVerse — between June 2020 and May 2024. The operation presented itself as a crypto investment platform that promised daily returns of 0.5% to 1% until an investor’s initial contribution doubled or tripled. The pitch hinged on claims of large-scale crypto mining operations that prosecutors say never existed.
HyperFund began blocking withdrawals in 2021 as complaints escalated. According to prosecutors, Burton spent investor funds on luxury real estate, sports cars, and a yacht. Court filings describe HyperFund as a classic payout scheme disguised with crypto terminology and online community events.
The platform leaned heavily on promotional culture, and Burton became one of its most visible public figures. He hosted a 2021 Miami gathering featuring Daymond John and Akon and appeared online with celebrities including Jamie Foxx and Rick Ross. Court filings also reference a prior conviction for conspiracy to distribute cocaine.
Who Else Has Been Charged in the HyperFund Case?
The HyperFund case has already produced one guilty plea. Promoter Brenda Chunga, known as “Bitcoin Beautee,” pleaded guilty after being charged by the SEC in January 2024. She admitted to her role in promoting the scheme.
Another high-profile figure, alleged co-founder and Australian entrepreneur Xue “Sam” Lee, remains at large. Prosecutors say Lee played a central role in building HyperFund’s structure and messaging. Lee and Chunga were charged with fraud and unregistered securities offerings last year, and regulators have linked them to earlier projects with similar patterns.
Burton has argued in filings that he believed HyperFund was a legitimate enterprise, claiming he was misled by Lee, who he described as orchestrating an “elaborate deception.” Prosecutors counter that Burton was directly involved in promoting returns that had no operational basis.
Investor Takeaway
With one co-defendant already pleading guilty and another still missing, Burton’s March trial could shape how U.S. authorities pursue large-scale crypto payout schemes in future cases.
What Happens Next Ahead of Burton’s Trial?
Burton’s trial is scheduled for March next year. If the court accepts the prosecutors’ framing of HyperFund, the case could become one of the most visible criminal actions tied to alleged crypto payout schemes in the post-2020 cycle. The indictment highlights both investor losses and the scale of marketing used to recruit participants during a period of heightened enthusiasm around online investment communities.
The U.S. Attorney’s Office describes HyperFund as a multi-year campaign that operated across social platforms, in-person events, private messages, and third-party promoters. The investigation appears to be ongoing, with prosecutors continuing to track the movements of Lee and examine the financial trail behind HyperFund’s inflows and payouts.