Brent Kovar Convicted in $24M Crypto Ponzi Scheme, Faces Up to 280 Years

Las Vegas businessman Brent C. Kovar has been convicted of running a $24 million cryptocurrency Ponzi scheme through his company, Profit Connect.

According to the U.S. Department of Justice (DOJ), a federal jury convicted Kovar on August 24, 2026, after a nine-day trial. He was found guilty of 11 counts of wire fraud, two counts of mail fraud and two counts of money laundering.

Kovar operated Profit Connect from late 2017 to July 2021. The company claimed to use artificial intelligence software and a supercomputer to mine cryptocurrency and verify transactions.

Investors were promised fixed annual returns of 15% to 30% and a 100% money-back guarantee. Kovar also claimed that Profit Connect had hundreds of millions of dollars in cryptocurrency reserves.

The DOJ said the company was actually not profitable and had no cryptocurrency reserves or legitimate source of returns. Investor funds were used to operate the business, buy gifts and a house, and repay earlier investors as if the money came from cryptocurrency activities.

The scheme defrauded at least 400 investors of approximately $24 million.

Kovar is scheduled to be sentenced on November 30, 2026. He faces a statutory maximum of 280 years in prison, although the actual sentence will be determined by a federal judge.

The case highlights the risks of investment schemes that use AI, cryptocurrency and other emerging technology claims to create an appearance of legitimacy. Guaranteed high returns and claims of nonexistent assets remain major warning signs for investors.