In one of the most dramatic crypto scandals of the year, Rowland Andrade, self-declared bitcoin creator of the now-defunct AML Bitcoin, has been sentenced to 84 months in federal prison for orchestrating a $10 million fraud scheme.
The U.S. Department of Justice and IRS Criminal Investigation (IRS-CI) confirmed the sentence via a tweet on July 30, 2025. The tweet states:
“Rowland Andrade, founder of AML Bitcoin, was sentenced to 84 months in prison for making false representations to investors that netted him $10 million in fraudulent proceeds.”
What Was AML Bitcoin?
Marketed as a “compliant alternative” to Bitcoin, AML Bitcoin promised features like anti-money laundering (AML) protocols and identity verification embedded at the protocol level. Andrade leveraged the regulatory narrative to lure investors—positioning AML BTC as the “legal” future of cryptocurrency.
However, according to court filings and a LinkedIn post from the IRS, these claims were false. The project had no working product, no compliance infrastructure, and no actual blockchain deployment.
Instead, Andrade diverted investor funds to personal luxury purchases, high-end travel, and marketing campaigns—without any legitimate development progress.
Crypto Scams and Public Perception
The case reignites debates around credibility in the crypto space, particularly the dangers of charismatic figures misusing the term “bitcoin creator” to legitimize dubious ventures.
While Bitcoin itself remains untouched by this scandal, AML Bitcoin was never a fork, layer, or extension of the Bitcoin network. Yet, headlines linking the terms have damaged public understanding and further fueled regulatory crackdowns.
Enforcement Is Catching Up
This sentencing is also a clear sign that enforcement agencies are stepping up.
IRS-CI, in particular, has been increasing its efforts to track crypto crimes, targeting not just dark web transactions but also white-collar fraud tied to blockchain marketing. As the agency stated in its announcement, “Investor protection remains our top priority as crypto adoption scales.”
Final Thoughts: Why the ‘Bitcoin Creator’ Narrative Still Misleads
Rowland Andrade was never a Bitcoin creator—only the promoter of a fake derivative. Yet the fact that this narrative gained traction for years exposes the need for clearer education and due diligence in Web3.As crypto matures, real innovation must be separated from grift. And regulators seem ready to draw the line more aggressively than ever before.
