Rodney Burton, known as "Bitcoin Rodney", has been arrested for his role in the HyperVerse crypto scheme. Facing charges in Maryland, he's accused of running an unlicensed money transmitting business. The IRS claims Burton was part of a network promoting non-existent bitcoin mining operations.

HyperVerse, reportedly swindling users of $1.3 billion, is linked to Australians Sam Lee and Ryan Xu of Blockchain Global. Despite warnings, it avoided scrutiny in Australia. The scheme promised high returns on "memberships", but investigations found no real crypto mining backing these claims.

The scheme's alleged CEO, Steven Reece Lewis, appears to be fictitious. He was promoted as having prestigious credentials, but checks with universities and companies revealed no records of him. His presence seems confined to HyperVerse materials.

Burton's arrest marks the first legal action against individuals connected to HyperVerse. He reportedly received over $7.8 million from investors. Burton's social media showed a lavish lifestyle, which is now under scrutiny following his arrest.

Sam Lee and Ryan Xu, linked to the scheme, have been referred to Australian authorities but aren't named in U.S. charges. Lee denies HyperVerse is a scam and claims he's not its founder, while Xu remains unreachable for comment.

The Guardian [1], [2]