Nevada man faces 280 years after alleged $24 million crypto Ponzi scheme

[letteredhub]

This is of no difference to how people who falls for shitocoins are doing with Ponzi Schemes investment fraud. They all think same way when it comes to making money online. The capital sentence handed over to the man in this story shouldn't stop at his case alone but extended to previous and future cryptocurrency related fraud as this would in a way dissuade and reduce the spike of cryptocurrency scams and other related practices which has really gave a negative narrative about the industry.

[Accardo]

This scoundrel has only been thinking about getting rich and will meet his fate; the fact that he used crypto rather than shares is simply down to the current trend. If seashells were the thing tomorrow, they’d start using those too.

I believe he must have paid his victims in crypto to validate this last persuasion, like every other Ponzi, victims always have accounts of making money through the platform, that opens up trust for the unimaginable guaranteed rates that fuels exit scam.

[Comeacross]

When ever I come across news like this, I always wonder how some people get convinced by others to give out their own money just because they are being offered a high annual return. With how common ponzi schemes have been, how do people still fall victim to this type of Ponzi scam?

Lack of awareness is the first reason before greed comes second. Most of the people that fall victim for scam like this are financially illiterate. They have no idea how the investment works. The truth is, if you don't have financial knowledge or know how profit are generated to pay you as claimed by this scammers, you're likely to fall victim. Some people maybe aware but still want to try their luck because of greed. They assume they'll outsmart the scammers before it crashes but they failed in most cases. The scammers are intelligent people, they know people weakness and how to exploit the weaknesses.

[YOSHIE]

Nevada man faces 280 years after alleged $24 million crypto Ponzi scheme

Honestly, I really hate crypto Ponzi schemes, aka fraudulent investments, prosecutors in Nevada should give Brent Kovar a 280 year prison sentence, so that he dies in prison.

In my country, one year ago, a fake crypto Ponzi scheme gang was arrested, they promised quite large profits, then suddenly they committed investment fraud, They were discovered that money from new investors was given to others. After being discovered, the gang ran out of the country and at the end of the story they were arrested at the airport.

So be careful if there is a company that promises fantastic profits in crypto investment and don give money and don believe it if there is an investment company that keeps its working system secret and is not transparent, The point is to check whether their company in your area has an official legal permit or not, so that we don get caught in a Ponzi Scheme.

[hd49728]

So be careful if there is a company that promises fantastic profits in crypto investment and don give money and don believe it if there is an investment company that keeps its working system secret and is not transparent, The point is to check whether their company in your area has an official legal permit or not, so that we don get caught in a Ponzi Scheme.

To make it short and easy for people to remember about a simple principle to avoid scams. Just avoid too good to be true offers, then it will be helpful for avoiding most of scams.

Because scammers know that if their offers are not too good, many people will not pay attention on their offers, and move on to other things. To increase attention of the crowd, "too good to be true offers" are favorite to use by scammers.

How to protect yourself
    Don’t be delusional. If something’s too good to be true, it probably is.

[Chinesebaby]

When ever I come across news like this, I always wonder how some people get convinced by others to give out their own money just because they are being offered a high annual return. With how common ponzi schemes have been, how do people still fall victim to this type of Ponzi scam?

Prosecutors in Nevada say Las Vegas resident Brent Kovar operated a supposed crypto business as a $24 million Ponzi scheme.
a $24 million Ponzi scheme.

Kovar persuaded roughly 400 people to invest in a company he claimed was worth hundreds of millions of dollars.

According to the U.S. Attorney's Office, the business "purportedly used artificial intelligence software on a supercomputer to mine cryptocurrency and verify other cryptocurrency transactions."

Prosecutors said Kovar promised fixed annual returns of 15% to 30%, along with a 100% money-back guarantee.

Authorities alleged those payouts came from newer investors rather than legitimate profits.

source
He was sentenced 280 years in prison which is almost equal to death setence if we are to add his current age.

I guess is life imprisonment and not a death sentence as you claim, because no matter how long this individual has been charged for the penalty of the offense he committed for scamming this number of people, he is definitely not dying immediately, but will have to keep staying in prison until he dies, since its impossible for him to outlive that 280 years jail term. While secondly, when it comes to the question you just asked about what might have prompted this victim into failing for such a scam, then it's obvoius that greed and lack of contentment must have been the primary key factors that made these people invest in that scam, simply because they were promised huge return of investment, and they fell to it.

[AmaGold70]

This is very surprising , how could someone from such a reputable company Nvidia be involved in this kind of cryptocurrency scam, however people are always falling victims of cryptocurrency scam, the fact is that people are always looking for a quick way of making money, and even when they find out that they are involving themselves in Ponzi scheme they still go ahead, and invest their hard earned money. Some people feel they will make some money before the site closes, and are attracted by the hard to fullfil promises that the Ponzi platform is offering. We should learn how to be patient with our investment, and invest genuinely because it is better to wait longer time, and benefit from your investment than seeking for short term profit, and loose everything.

[Renampun]

When ever I come across news like this, I always wonder how some people get convinced by others to give out their own money just because they are being offered a high annual return. With how common ponzi schemes have been, how do people still fall victim to this type of Ponzi scam?

You could say that those people are too blinded by money.. and when they are promised such high returns, they ignore the risks and simply trust the scammer without doing any prior research on what they are getting into. That's why Ponzi schemes, despite having claimed many victims, still continue to attract people.. these people are so greedy that they can make quick profits with minimal effort, without realizing that the whole thing is too good to be true.

luckily, that scammer got a long prison sentence, because in most Ponzi scheme cases, the perpetrators usually don't get punished to the fullest.

[Muba20]

If investors are not careful and do not control their greed, they are bound to be deceived again and again. When schemes are presented with the promise of getting rich quick or much higher returns than ordinary investments, many investors invest their money without any proper analysis. Some investors suffer losses simply because they trust others.

It is very important to carefully examine them before making an investment, rather than making hasty decisions based on strangely attractive offers. Many Ponzi schemes initially fulfill their promises to gain the trust of investors. Once investors agree and trust the scheme, they are deceived, because after gaining trust, they often invest all their funds in the hope of similar returns.

If ordinary investors were not so greedy, then perhaps so many Ponzi schemes would not have arisen. However, it is also true that if the perpetrators were brought to justice, such schemes would not have caused such serious harm to investors. Those who cause such huge financial losses to others deserve severe punishment to prevent them from doing such schemes in the future.

[Hazink]

This is of no difference to how people who falls for shitocoins are doing with Ponzi Schemes investment fraud. They all think same way when it comes to making money online. The capital sentence handed over to the man in this story shouldn't stop at his case alone but extended to previous and future cryptocurrency related fraud as this would in a way dissuade and reduce the spike of cryptocurrency scams and other related practices which has really gave a negative narrative about the industry.

I was reading about the story shared on the Op and what makes it different from the regular Ponzi scheme is how the scammer positioned his business as being legit and that all invested funds are backed up given investors the assurance that things wouldn't go wrong when, in reality after everything has been uncovered it was discovered that new investor's money was used to pay existing investor's just how a typical Ponzi schemes works, but the person operated it in a big way which could have contributed to why some people where easily convinced to invest that sum, I just hope on the day of the sentence the judge don't go any light with him.

[Cryptomultiplier]

When ever I come across news like this, I always wonder how some people get convinced by others to give out their own money just because they are being offered a high annual return. With how common ponzi schemes have been, how do people still fall victim to this type of Ponzi scam?

You could say that those people are too blinded by money.. and when they are promised such high returns, they ignore the risks and simply trust the scammer without doing any prior research on what they are getting into. That's why Ponzi schemes, despite having claimed many victims, still continue to attract people.. these people are so greedy that they can make quick profits with minimal effort, without realizing that the whole thing is too good to be true.

luckily, that scammer got a long prison sentence, because in most Ponzi scheme cases, the perpetrators usually don't get punished to the fullest.

Am sure most of these ponzi schemes use the lure of AI inclusivity and some other modern technical jargons to make it look legit enough, mostly about the high yield interest that get greedy people interested and when they get paid more than once, they to the advertising and bring in their own people to also benefit and this is where the collapse starts happening because Ponzi schemes as it is always has an expiry date.
The expiry date should be when the owner has accumulated enough funds, stop paying out the usual promised yield and starts getting unreachable without good reasons.

Well, this isn't the first nor will it be the last, but it's still an eye opener for everyone seeking shortcuts to make wealth instead of going the work to get the results.

[Agbam]

When ever I come across news like this, I always wonder how some people get convinced by others to give out their own money just because they are being offered a high annual return. With how common ponzi schemes have been, how do people still fall victim to this type of Ponzi scam?

Prosecutors in Nevada say Las Vegas resident Brent Kovar operated a supposed crypto business as a $24 million Ponzi scheme.
a $24 million Ponzi scheme.

Kovar persuaded roughly 400 people to invest in a company he claimed was worth hundreds of millions of dollars.

According to the U.S. Attorney's Office, the business "purportedly used artificial intelligence software on a supercomputer to mine cryptocurrency and verify other cryptocurrency transactions."

Prosecutors said Kovar promised fixed annual returns of 15% to 30%, along with a 100% money-back guarantee.

Authorities alleged those payouts came from newer investors rather than legitimate profits.

source
He was sentenced 280 years in prison which is almost equal to death setence if we are to add his current age.

A good punishment for his crimes, he’ll spend the rest of his life atoning for his crimes behind bars. The greed of man if not controlled will always get the better of him.

This Ponzi schemes have been known to be no good, but you still find people falling victims and you begin to imagine if they’ve never heard about such schemes before but they do and sometimes they feel they’ll get the better of the schemer until they’ve been scammed then their eyes will open to the realisation.

[jossiel]

With how common ponzi schemes have been, how do people still fall victim to this type of Ponzi scam?

It is common to us who has common knowledge about these ponzi schemes.

But for those people who don't know it yet, those are the targets of these scammers. Without personal knowledge about how their trick exists, they're the desired victims.

As long as there are greedy people who think money grows easily as promised by these ponzis, there will be victims falling for it.

I agree that Ponzi is no longer a new phenomenon, although there has been a lot of education about the risks, but still the problem is the lure pattern offered. Who is not happy with a 100% return on profits? a pattern that manages to play on the psychology and greed of its victims, even crypto users do not escape the ponzi trap because they are used to volatile price movements so it will be very easy to get caught.

And even more with the 100% profits in a short period of time.

Those who truly think that this is real will fall for it and these are the people who are greedy upon seeing such words and not aware of ponzi.

The scammers don't target who are knowledgeable with their antics but they know a lot are still ignorant about them.

[Sobz]

When ever I come across news like this, I always wonder how some people get convinced by others to give out their own money just because they are being offered a high annual return. With how common ponzi schemes have been, how do people still fall victim to this type of Ponzi scam?

With the number of ponzi schemes that has led so many people into lose of money and how people have gotten to know the risk behind ponzi scheme people still enrol in it. The reason why people will still keep participating in ponzi scheme is because they want to make quick money and just greed. People for interest because they feel if they enrol in ponzi scheme in few weeks they can make good amount of money from it and they will stop immediately but because of greed it is so difficult to stop. People just want to make money easily and quickly because they are not ready to be discipline and to have patience to invest in bitcoin. Bitcoin is seen as a slow investment because it cant make one to become rich quick.

[macson]

He was sentenced 280 years in prison which is almost equal to death setence if we are to add his current age.

There's a difference between "sentenced" and "potential sentence." In this man's case, he's only facing a potential 280-year federal prison sentence, meaning he hasn't been sentenced yet.

A Nevada man is facing a potential 280-year federal prison sentence after prosecutors alleged that he used a flashy artificial intelligence crypto pitch to solicit millions from investors.

While I hope he gets the maximum sentence, I doubt the judge will give him that long. He could get 15 or 20 years, perhaps.

[Nathrixxx]

When ever I come across news like this, I always wonder how some people get convinced by others to give out their own money just because they are being offered a high annual return. With how common ponzi schemes have been, how do people still fall victim to this type of Ponzi scam?

Everyone will definitely desire a multiplication to his asset by making additional earning opportunity from it, but where many are missing out is that the eventually landed at investing on a wrong asset that leads to scam, there are many attempt to fraudulent activities online and if we are not careful we may just end up on a Ponzi scheme than the intended investment we wanted to make for our profitability considering Bitcoin.

[letteredhub]

This is of no difference to how people who falls for shitocoins are doing with Ponzi Schemes investment fraud. They all think same way when it comes to making money online. The capital sentence handed over to the man in this story shouldn't stop at his case alone but extended to previous and future cryptocurrency related fraud as this would in a way dissuade and reduce the spike of cryptocurrency scams and other related practices which has really gave a negative narrative about the industry.

I was reading about the story shared on the Op and what makes it different from the regular Ponzi scheme is how the scammer positioned his business as being legit and that all invested funds are backed up given investors the assurance that things wouldn't go wrong when, in reality after everything has been uncovered it was discovered that new investor's money was used to pay existing investor's just how a typical Ponzi schemes works, but the person operated it in a big way which could have contributed to why some people where easily convinced to invest that sum, I just hope on the day of the sentence the judge don't go any light with him.

A big lesson to be learnt here in this story about this rare packaged advanced Ponzi scheme , everyone should never tire to be diligently scrutinize, try as best as putting their statements in review and asking the right questions which at times may sound unnecessary to ask but may have being the saving triggers if one was bold enough to ask them.
Most of the Ponzi schemes patterns has already gotten exposed and so it's expected that scammers would go on to galvanized a new unimagined pattern to drain victims funds since everyone this days is after any investment that can return profit.

[#CapsLOck]

I believe that's what's left of the reason these scams still operate is because scammers don't have to convince people about something complicated. They just make the offer appear real and provide people a little bit of hope that they will ignore the red flags. Any investment promising 100 percent return of money to investors and 15–30 percent returns annually should send red flags. As investors always have to take a chance on getting high returns with no risk. The terms used, such as AI and cryptocurrency mining and supercomputers likely made the scheme more believable to folks who were not knowledgeable enough to validate the claims. That is why I would not fault all the victims for being. Say, greedy or ignorant. Desperation trust and social proof can influence people's decisions as well. The first question that should be asked before investing is where the returns promised are coming from and how the business is going to be able to create the profits without the need to constantly have to be seeking new investors.

[Catenaccio]

Most of the Ponzi schemes patterns has already gotten exposed and so it's expected that scammers would go on to galvanized a new unimagined pattern to drain victims funds since everyone this days is after any investment that can return profit.

Ponzi itself is a scam scheme or scam pattern which is old enough so that if people are carefully searching for Ponzi, they can learn and understand about this scam very well and easy.

Like with these following resources, reading through them, it's enough to be never scammed by Ponzi.
[Investor alert] Ponzi schemes using cryptocurrencies (SEC).
Cryptocurrency investment fraud.
Investor alert on Ponzi.

[Davidloki]

When ever I come across news like this, I always wonder how some people get convinced by others to give out their own money just because they are being offered a high annual return. With how common ponzi schemes have been, how do people still fall victim to this type of Ponzi scam?

Ponzi schemes should be one of the smartest means to make money illegally, which raises value to the importance of information and internet education. There have being no significant change or improvement to these pomzi schemes over the years, its being same old method of promising enticing returns and somehow people keep falling for it.

People never have these thoughts, "what do these companies stand to gain by giving out freebies?", "why deposit before withdrawal? ". Many people have these questions in mind but there is still a feeling that thinks they could get in and get out quickly before it crashes, now that's a stupid risk that should never be considered.