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Megaupload founder Kim Dotcom is broke.

Speaking on Tuesday via teleconference (video below) to the crowd at London's unBound Digital event, Dotcom prefaced a talk on Internet freedom with an update on his legal situation.

Almost three years after being arrested for copyright infringement, the Megaupload founder is facing extradition from New Zealand, and possible incarceration.

Worse yet, Dotcom's lawyers recently stepped down, leaving the German native to represent himself at Thursday's bail hearing.

"My legal team has recently resigned because I ran out of money after spending $10 million to try to defend myself," Dotcom said on Tuesday. "They [U.S. authorities] have certainly managed to drain my resources and dehydrate me, and without lawyers I'm defenseless."

He denies charges of racketeering, conspiring to commit copyright infringement, and money laundering, according to the BBC.

"This might be the last public appearance," Dotcom said with a laugh during Tuesday's digital business conference.

The entrepreneur does retain a lawyer in the U.S., Ira Rothken, who spoke with Radio New Zealand about his client.

"There are assets frozen across the globe. There are mechanisms in place for getting relief from those frozen assets," Rothken said. "We're hopeful that courts across the globe, including in Hong Kong and New Zealand, will do the right thing and release funds to counsel."

Without those assets, Rothken said, Dotcom doesn't stand a very good chance.

"This is the largest copyright case in the history of the United States and New Zealand," Rothken continued. "The government is trying to outspend Kim Dotcom. They are trying to win on procedure rather than merit."

According to the BBC, the U.S. Justice Department claimed Megaupload earned more than $175 million, and cost the entertainment industry more than $500 million.

In early 2013, Dotcom launched a follow-up online storage company called Mega, which reached one million users within 24 hours. The service is free for up to 50GB of storage; pricing tiers range from $13 per month for 500GB to $40 for 1TB.

For more, see What Is Megaupload?