DENVER (KDVR) — A Denver pastor admitted that he and his wife pocketed $1.3 million from customers of an online cryptocurrency exchange targeted to Christians, according to a video posted on his website late last week.
The admission came after the Colorado Securities Commissioner filed civil fraud charges against the pastor, Eligio Regalado, and his wife, Kaitlyn, as well as others involved in the alleged $3.2 million scam.
The civil complaint alleged that Regalado and his wife created, marketed and sold a cryptocurrency called “INDXcoin” to people in the Christian community. The cryptocurrency was also available through the “Kingdom Wealth Exchange,” which also was created by the couple.
The couple advertised both online and in-person through presentations made at churches, including the couple’s own church, Victorious Grace Church, according to the complaint.
In his video, Regalado admitted that he created a cryptocurrency “with no clear exit.”
“I know this looks bad,” Regalado said.
In all, more than 300 people put nearly $3.2 million into the cryptocurrency.
Of that, around $1.3 million was pocketed by the couple. Regalado admitted that around $500,000 of that went to the IRS, and “a few hundred thousand” dollars went “to a home renovation the Lord told us to do,” Regalado said.
The complaint alleged other things the money was used for, including luxury handbags, cosmetic dentistry, snowmobile adventures and luxury vacations.
“In 2023, (Eli and Kaitlyn) spent over $33,000 on travel and entertainment expenses, and nearly $20,000 in meals,” according to the complaint.
The complaint also alleged that the couple “told investors that they would ‘tithe’ and ‘sow’ in causes that helped widows and orphans,” but that “the payments to ‘widows and orphans’” were primarily to the couple.
“What we’re praying for, and what we’re believing for still, is that God is going to do a miracle,” Regalado said in his video.