Las Vegas Businessman Convicted of $24M Crypto Ponzi Scheme

A Las Vegas businessman has been convicted of running a $24 million cryptocurrency Ponzi scheme through Profit Connect. The company falsely touted its AI-powered crypto mining capabilities, highlighting rising concerns about fraud and security risks in the digital-asset industry.

The conviction comes as the industry grapples with record illicit activity and tries to maintain investor trust. Brent Kovar was found guilty on August 24 of operating Profit Connect, which claimed to be an artificial-intelligence company mining cryptocurrency on behalf of investors.

The verdict underscores the need for tighter regulation and increased due diligence across DeFi, DEX, and CEX markets. The case is a reminder that crypto fraud can have serious consequences, both financially and reputationally.