Las Vegas Business Owner Convicted of $24 Million Crypto Ponzi Scheme

A Las Vegas business owner has been convicted of running a $24 million cryptocurrency Ponzi scheme that targeted at least 400 investors. Brent C. Kovar, the owner of Profit Connect, was found guilty on 11 counts of wire fraud, two counts of mail fraud, and two counts of money laundering.

Kovar lied to investors from late 2017 to July 2021, telling them that his company was profitable and returning a fixed rate of 15-30% to investors. He also claimed that Profit Connect used artificial intelligence software on a supercomputer to mine cryptocurrency and verify other cryptocurrency transactions.

In reality, Kovar used investor money to fund his own personal expenses, including buying a house for himself, as well as gifts for employees. He faces a maximum sentence of 280 years in prison and is scheduled to be sentenced on November 30.