Denver Pastor’s Crypto Scam Exposed: How Faith Was Weaponized for Financial Fraud

DENVER—Another day, another crypto scheme—but this one comes with a pulpit and a prayer.

THE HOLY GRAIL OF GREED

Local investors trusted their pastor with life savings—only to discover their digital assets vanished into thin air. No divine intervention came to save their portfolios.

THE PLAYBOOK OF DECEPTION

Fake returns promised miracles—consistent monthly gains, heavenly compounding, and celestial protection from market volatility. Instead, funds got funneled to offshore wallets faster than you can say 'amen.'

WHEN FAITH MEETS FRAUD

Congregation members received scripture-quoting emails urging them to 'invest in God's blockchain vision.' One retiree lost $50,000—her entire IRA—after being told the project was 'SEC-approved by heavenly authorities.'

THE AFTERMATH

Lawyers are circling, subpoenas are flying, and the only thing rising faster than the victim count is the pastor's sudden interest in extradition-free countries.

Because nothing says 'Christian values' like leveraging trust to bypass financial regulations—and proving once again that when someone promises you guaranteed crypto returns, you're probably not dealing with a financial genius. Just ask the FSA.

INDXcoin Fraud Case

The Denver District Court delivered its verdict against Eli Regalado and his wife Kaitlyn, who marketed the fraudulent token known as INDXcoin. The couple established the token to defraud local residents, ultimately being convicted of securities fraud. Between mid-2022 and April 2023, Eli misled around 300 individuals from the Christian community into purchasing the tokens through the Kingdom Wealth Exchange platform. He promised them low-risk investments with high returns. Despite the Colorado Securities Division scoring the token 0 out of 10 for reliability, deceptive marketing tactics were continued unabated.

Eli Regalado confessed to converting the sold cryptocurrencies into cash, using half for U.S. Revenue Service payments and the remainder on what he described as “divinely inspired home renovations.” He proclaimed that those who acquired the cryptocurrency WOULD experience a miraculous transformation in a short period.

Where Did the Money Go?

The financial investigations into the INDXcoin fraud revealed that millions of dollars were spent on extravagant items such as a Range Rover, jewelry, luxury skiing and yacht trips, designer clothing, and even dental care. State regulators highlighted how the fraudsters manipulated their victims’ religious sentiments and preyed on citizens lacking knowledge about cryptocurrencies.

This incident could be one of the first major crypto fraud cases exploiting religious beliefs. Commissioner Chan referred to this contemporary twist on an old scam as the acts of “21st-century false prophets.”

Commissioner Chan stated;

“The Colorado Securities Division works tirelessly to prosecute securities fraud statewide. This case, where a local pastor defrauded Coloradans, underscores the need for state regulators to protect small investors, who are simply trying to pay bills, save for retirement, and put food on the table. The cryptocurrency market has exceeded $4 trillion, bringing along the scammers. The court’s decision is a victory for Colorado investors, justice, fair play, and all legitimate cryptocurrency projects. We are proud to be part of this effort.”