A central figure in the sprawling HyperVerse cryptocurrency scheme has been convicted by a United States court, marking a significant development in a case alleging a global fraud worth approximately $1.9bn.
The Verdict and the Charges
Rodney Burton, also known as "Bitcoin Rodney," was found guilty on a single count of conspiracy to commit wire fraud. The verdict was delivered by a federal jury in Maryland on Wednesday, 3 December 2025. Prosecutors successfully argued that Burton played a crucial role in a vast and complex scheme that misled investors worldwide.
The case centred on the HyperVerse platform, a venture heavily promoted by Australian citizen Sam Lee. The operation, which also traded under names like HyperFund and HyperCapital, allegedly promised investors extravagant returns from non-existent cryptocurrency mining operations. The US Securities and Exchange Commission (SEC) has previously labelled it a "pyramid and Ponzi scheme."
The Mechanics of the Alleged Fraud
According to court documents and regulatory findings, the scheme operated by enticing members to buy "membership packages" with the guarantee of daily rewards paid in cryptocurrency. These rewards were supposedly generated by large-scale Bitcoin mining. However, authorities allege these mining operations did not exist.
Instead, the model relied on a classic Ponzi structure, using funds from new investors to pay purported returns to earlier participants. The scheme is believed to have amassed around $1.9bn from investors across multiple continents. Burton's specific role, as presented by the prosecution, involved managing the flow of these funds and recruiting new members into the network.
Sam Lee, identified as a founder and leading promoter, has not been charged in the US but is facing separate civil action from the SEC. He has publicly denied any wrongdoing. Other linked figures, including former UK footballer and promoter John McGovern, have also faced regulatory scrutiny.
Global Fallout and Ongoing Repercussions
The conviction of Rodney Burton is a major step in unravelling the HyperVerse network, but it highlights the persistent and borderless threat of sophisticated crypto frauds. The scheme's promotional material, featuring celebrity appearances and professional presentations, lent it an air of legitimacy that deceived many.
Regulators in several countries, including the UK's Financial Conduct Authority (FCA), had issued warnings about HyperVerse and its associated brands. The FCA explicitly stated the firm was not authorised to operate in the UK. Despite these alerts, the scheme continued to attract investment, underscoring the challenges of policing the decentralised and rapidly evolving cryptocurrency landscape.
Burton now awaits sentencing, where he could face a substantial prison term. The case continues to send shockwaves through the crypto investment community, serving as a stark reminder of the risks associated with promises of guaranteed high returns. The global hunt for accountability and attempts to recover lost funds for victims are likely to continue for years.
