A pastor and his wife in Colorado, Eli and Kaitlyn Regalado, are facing charges for allegedly defrauding hundreds of local Christians in a multimillion-dollar cryptocurrency scheme. Prosecutors claim the couple fraudulently raised over $3 million by selling a cryptocurrency called INDXcoin, described as “practically worthless.”
According to court filings, Pastor Eli Regalado claimed that his plan was inspired by God, asserting that “God told him directly that investors would become wealthy” by investing in INDXcoin. The cryptocurrency was offered through the Kingdom Wealth Exchange, an online cryptocurrency exchange owned and operated by the Regalados.
Prosecutors allege that the couple, with no prior experience in cryptocurrency, pocketed at least $1.3 million between June 2022 and April 2023. Despite a third-party auditor finding INDXcoin to be “unsafe, unsecure and riddled with technical problems,” the Regalados continued to promote it as a low-risk, high-profit investment, according to the complaint.
The funds raised were allegedly used for the couple’s lavish lifestyle, including purchases such as a Range Rover, luxury handbags, jewelry, boat rentals, and snowmobile adventures. Colorado Securities Commissioner Tung Chan has filed civil fraud charges for violations of anti-fraud protections under the Colorado Securities Act. The charges were brought forth following multiple complaints from individuals who invested in INDXcoin and suffered financial losses.