A Colorado pastor and his wife face dozens of charges connected to a cryptocurrency scam that investigators say they used to deceive and steal from their Christian community, according to the Denver district attorney’s office.
Eli, who ran the online-only Victorious Grace Church, and Kaitlyn Regalado were indicted by a Denver grand jury on 40 felony charges of theft, securities fraud and racketeering for soliciting nearly $3.4 million from investors who bought into a cryptocurrency they created called INDXcoin, the district attorney’s office announced Tuesday.
Eli Regalado told his parishioners that God directed him to start the cryptocurrency and a related marketplace, Kingdom Wealth Exchange, as a “wealth transfer” for God’s people, according to the indictment.
But only a fraction of that money went toward the business, investigators say. The funds were transferred directly into the couple’s bank and Venmo accounts, and least $1.3 million went to personal expenses, including plane tickets, car payments and a home renovation Eli Regalado said “the Lord” told them to do.
In a since-deleted video posted in January 2024, Eli Regalado admitted he and his wife pocketed the money but insisted “God is not done with this project” and asked his parishioners to stand by the couple.
The Regalados knew they were deceiving investors when they claimed INDXcoin was a particularly safe and profitable form of cryptocurrency, investigators wrote in the indictment. The couple had even sought an audit that found the project was not safe or stable.
“These charges mark a major step forward in our work to hold the Regalados accountable for their alleged crimes and to bring a measure of justice to the victims,” District Attorney John Walsh said in a statement.
Eli and Kaitlyn Regalado are set to appear in court Thursday for a bail hearing.
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