Rowland Marcus Andrade, the creator of the AML Bitcoin cryptocurrency, will spend seven years behind bars after being convicted of defrauding investors and misusing their funds.
A California jury delivered a guilty verdict in March, convicting him on charges of wire fraud and money laundering.
According to a press release issued July 29 by the U.S. Department of Justice, Andrade raised approximately $10 million through deceptive promotion of his digital currency.
Did you know?
Subscribe – We publish new crypto explainer videos every week!
How Does Cryptocurrency Work? (Explained with
Animation)
He attracted investors with false promises, claiming AML Bitcoin possessed superior security features and significant business partnerships. He specifically stated the token could be used by ships paying transit fees at the Panama Canal.
Andrade diverted around $2 million of investor funds for personal use, purchasing properties and luxury vehicles. Prosecutors argued this was part of a deliberate scheme to inflate the perceived success of his venture.
Although prosecutors sought a lengthier sentence of 17.5 years, the court opted for a shorter prison term. US Attorney Craig Missakian commented:
He took advantage of trusting investors and used their investments to fund an extravagant lifestyle.
His prison term commences October 31. Andrade is also required to forfeit certain assets, which will be used to compensate victims of his fraud. The exact restitution amount will be determined at a court hearing on September 16.
After his release, Andrade will remain under government supervision for a three-year period.
In a related case, Christina Marie Chapman, an Arizona-based freelancer with a large TikTok following, received an eight-and-a-half-year sentence. Learn the details: Full
story here.
Having completed a Master’s degree in Economics, Politics, and Cultures of the East Asia region, Aaron has
written scientific papers analyzing the differences between Western and Collective forms of capitalism in
the post-World War II era.
With close to a decade of experience in the FinTech industry, Aaron
understands all of the biggest issues and struggles that crypto enthusiasts face. He’s a passionate analyst
who is concerned with data-driven and fact-based content, as well as that which speaks to both Web3 natives
and industry newcomers.
Aaron is the go-to person for everything and anything related to digital
currencies. With a huge passion for blockchain & Web3 education, Aaron strives to transform the space
as we know it, and make it more approachable to complete beginners.
Aaron has been quoted by multiple
established outlets, and is a published author himself. Even during his free time, he enjoys researching the
market trends, and looking for the next supernova.