Angus Carpenter, of Liverpool, who has played in the city centre for more than 30 years, denied three counts of fraud.
The 62-year-old was found guilty of one count when he played with a Hillsborough Justice Campaign banner draped on his bagpipes in April 2015.
He was cleared of the two other counts by a jury at Liverpool Crown Court.
Sgt Chris Gaynor told the court during the two day trial that Carpenter, from Woolton, gave the impression he was collecting cash for the Hillsborough Justice Campaign.
In his defence, Carpenter - who usually wears a kilt and piper's regalia when he performs - said he had piped for the charity in the past but on this occasion he was simply busking.
Kenneth Derbyshire, chairman of the Hillsborough Justice Campaign, said he had given Carpenter permission to design and display a banner featuring the eternal flame and the word justice.
But he said he had made it clear he was not use it to collect funds for the charity.
Carpenter told the court the banner was a tribute to the victims, not an attempt to deceive anyone.
He also told the court he was a familiar face on match days at Anfield and known as a busker to the Hillsborough Justice Campaign.
He will be sentenced in January.

Midfielder Kirby, 23, has played more than 100 times for Rovers since 2012 and has agreed a one-year extension.
Defender Gumbs and midfielder Duggan, both 20 and former academy players, have also signed one-year deals.
Defenders Buxton, 25 and Ridehalgh, 26, who has made more than 150 appearances for Rovers, have both signed contracts until the end of the 2018-19 season.

Goals from Robert Wurube and James Moga helped South Sudan complete a 4-1 overall victory in the Central Eastern Zone qualifier to set up a meeting with Uganda in the next round.
On Saturday, Malawi and Seychelles went out to Madagascar and Mauritius respectively.
The CHAN - a tournament for locally-based African players featuring in their own country's domestic leagues - will be staged in Kenya from 12 January to 4 February 2018.
Malawi were beaten 1-0 at home in the second leg of their opening Southern Zone qualifier with Madagascar winning 2-0 on aggregate.
Seychelles could only draw the second leg of their qualifier in Mahé 1-1 as Mauritius progressed 3-2 overall.
Madgascar had Rokotoarimaldla Tsilavina to thank for their victory in Lilongwe as he scored the only goal just after the break, beating advancing Malawi goal-keeper Ernest Kakhobwe.
The visitors were then the better side for most of the second half, displaying offensive and passing football.
Malawi were left to rue their three missed chances in the first half with striker Muhammad Sulumba the main culprit after his weak shot from inside the six-yard box was easily stopped by the Madagascar keeper.
The defeat to Madagascar means Malawi's new coach Ronny Van Geneugden is without a win in three games.
The result will provide food for thought for Malawi who bolstered their squad on return from Madagascar by including among others former captain Joseph Kamwendo and forwards Binwell Katinji and Ishmael Thindwa .
Madagascar will play Mozambique in the next round.
On a good day for Indian Ocean nations, Mauritius sealed their place in the next round of the CHAN qualifiers with a 1-1 draw against Seychelles at the Stad Linité in Mahé to progress 3-2 on aggregate.
On a rainy afternoon, Mauritius opened the scoring with a 14th minute goal from defender Marco Dorza.
Mauritius thought they had doubled the lead but Kevin Perticot's goal was disallowed for offside.
Seychelles then scored two minutes after the break from a penalty having also had a goal disallowed, but they could not add to their tally, with Mauritius booking their place against Angola in the next round.
A bagpipe-playing busker has been convicted of duping people in Liverpool into thinking he was collecting for a Hillsborough charity.
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Jake Kirby, Adam Buxton, Evan Gumbs, Mitchell Duggan and Liam Ridehalgh have all agreed new deals with Tranmere.
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South Sudan booked their place in the next round of regional qualifying for the 2018 African Nations Championship (CHAN) on Sunday, defeating Somalia 2-0 in Juba.