Title: DOJ Charges Three Individuals In $1.9 Billion HyperFund Cryptocurrency Fraud Scheme

The Department of Justice has announced criminal charges against two individuals and the guilty plea of a third person for their involvement in a massive $1.9 billion cryptocurrency fraud scheme known as HyperFund. The Securities and Exchange Commission (SEC) has also filed a related civil action against two of the defendants for their alleged participation in this pyramid scheme.

Acting Assistant Attorney General Nicole Argentieri of the DOJ's Criminal Division stated that the three defendants falsely claimed that investors in HyperFund would receive substantial returns from cryptocurrency mining operations that did not actually exist. This fraudulent scheme has not only led to significant financial losses for unsuspecting investors, but it has also undermined trust in the cryptocurrency market.

Charged in the criminal case is Sam Lee, a 35-year-old Australian citizen residing in Dubai, United Arab Emirates. Lee is accused of co-founding HyperFund and playing a key role in orchestrating the fraudulent activities. Additionally, two HyperFund promoters, Rodney Burton from Miami and Brenda Chung from Severna Park, Maryland, have also been charged for their involvement in the alleged pyramid scheme.

U.S. Attorney for Maryland, Erek Barron, expressed his shock at the scale of the alleged fraud, describing it as staggering. As the investigations into this cryptocurrency fraud continue, federal authorities are determined to hold those responsible accountable for their actions and ensure that justice is served.

The SEC's civil action complements the criminal charges filed by the DOJ, further highlighting the seriousness of this cryptocurrency fraud scheme. Both agencies are working together to safeguard the interests of investors and to prevent similar fraudulent schemes from taking place in the future.

Cryptocurrency fraud has become an increasing concern as digital assets gain popularity and attract both legitimate investors and criminals. Regulators and law enforcement agencies worldwide are committed to cracking down on fraudulent activities within the cryptocurrency market to protect investors and maintain the integrity of the industry.

As the legal proceedings unfold, investors are reminded to exercise caution and conduct thorough due diligence before investing in any cryptocurrency schemes. It is essential to seek advice from reputable financial advisors and verify the legitimacy of investment opportunities to avoid falling victim to fraudulent schemes.

The DOJ's charges against the individuals involved in the $1.9 billion HyperFund cryptocurrency fraud scheme send a strong message that fraudulent activities will not be tolerated, and those responsible will face severe consequences.