Emre Yumlu 
Brent Kovar is accused of luring investors into a Ponzi scheme through YouTube videos and PowerPoint presentations, promising annual returns of 15%-30%.
U.S. regulators have charged Brent Kovar, a Las Vegas resident, with defrauding over 400 investors through an AI-powered cryptocurrency mining scheme. Kovar is alleged to have run a Ponzi scheme worth $24 million, offering investors high returns and a 100% money-back guarantee.
Lured Investors with False Promises
According to a statement from the U.S. District Attorney for the Nevada region, Kovar made misleading statements about his investment firm and convinced some investors that their investments were insured by the FDIC.
From late 2017 to July 2021, Kovar allegedly promised investors fixed returns between 15% and 30% annually and assured them that their investments were fully secured. However, evidence suggests that Kovar used the funds to finance his lavish lifestyle, buy gifts for employees, and pay off earlier investors in the Ponzi scheme.
Luxury Living Under the Guise of Crypto Investments
Prosecutors noted that Kovar used a website, YouTube videos, and PowerPoint presentations to persuade investors. Kovar faces charges of 12 counts of wire fraud, 3 counts of mail fraud, and 3 counts of money laundering. If convicted, he could face up to 330 years in prison and fines up to $4.5 million.
FBI’s Crackdown on Crypto Fraud
In recent years, there has been a significant rise in crypto-linked Ponzi schemes. The FBI’s “Operation Level Up” is credited with preventing approximately $285 million in potential losses from the beginning of 2024 to early 2025.
For example, in January 2025, Antonia Perez Hernandez, who promoted the Forcount crypto Ponzi scheme, pled guilty to fraud charges and was sentenced to over two years in prison. In October 2024, a former lawyer in California confessed to running a multi-million-dollar crypto Ponzi scheme and was sentenced to five years of supervised release along with a $14 million restitution fine.
The increase in crypto-related fraud cases has led regulators and law enforcement agencies to impose stricter oversight on the sector. Brent Kovar’s case is one of the latest significant interventions in this area.
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