Founder of AML Bitcoin Gets 7 Years in Prison for $10M Fraud Scheme

At the conclusion of a five-week trial in March 2025, a jury found Andrade, 47, a Texas businessman, guilty of wire fraud and money laundering in connection with the fraudulent marketing and sale of a cryptocurrency called AML Bitcoin, a scheme that raised millions of dollars through false and misleading statements to investors about the cryptocurrency and the purported technology behind it.

According to court documents and evidence presented at trial, Andrade made false statements to the public and potential purchasers of AML Bitcoin misrepresenting the development of the technology, its viability, potential business deals, and release date.  Among other misrepresentations, Andrade falsely claimed that the Panama Canal Authority was close to permitting AML Bitcoin to be used for ships passing through the Panama Canal when no such agreement existed.

Court documents and evidence presented at trial established that Andrade defrauded cryptocurrency investors out of approximately $10 million.  Andrade diverted more than $2 million in proceeds from the sale of AML Bitcoin and spent it on personal expenses, including the purchase of two properties in Texas and two luxury automobiles.

The jury also found that Andrade laundered investor funds through a series of bank accounts and then used the funds for his personal expenses and the purchase of the properties and automobiles.

“The defendant made one false claim after another about a sophisticated cryptocurrency offering to create the illusion of a legitimate business,” said United States Attorney Craig H. Missakian.”He exploited numerous investors who put their trust in him, not knowing that their hard-earned money was in fact funding his lavish lifestyle.  Today, Andrade learned the price of his greed.”

“Rowland Marcus Andrade promised innovation but delivered deception,” said FBI Special Agent in Charge Sanjay Virmani. “He misled innocent people who believed they were investing in the future of digital currency. Instead, their money was used to fund his personal luxury.”

In addition to the prison term, Chief Judge Richard Seeborg also sentenced Andrade to a three-year period of supervised release and ordered him to pay forfeiture representing the amount of fraudulent proceeds obtained from his crimes.  The court ordered a hearing on Sept. 16 to determine the amount of forfeiture and the amount of restitution owed to victims of Andrade’s crimes.  Andrade will begin serving his sentence on Oct. 31, 2025.