Denver Couple Ordered to Repay $3.3M in Fake Crypto Scheme

A Denver pastor and his wife have been hit with a $3.3 million civil judgment for orchestrating a fraudulent cryptocurrency scheme. Eli and Kaitlyn Regalado promoted INDXcoin as a divine investment opportunity, targeting their Christian community with promises of high returns and minimal risk.

The Colorado Division of Securities confirmed the ruling, which also bans the couple from private securities transactions in the state for two decades. Their custom-built exchange, Kingdom Wealth Exchange, collapsed in 2023 due to liquidity issues and lack of adoption.

A damning audit by blockchain security firm Hacken gave the project a 0/10 security score, exposing severe vulnerabilities that were never disclosed to investors. The Regalados raised nearly $3.4 million from over 300 individuals before the scheme unraveled.