Thomas Daniels
The Denver-based leader of an online church, Victorious Grace Church, is implicated in a scheme involving the sale of the essentially worthless INDXcoin cryptocurrency, pocketing a significant portion of the funds. As reported by The Denver Post, Eli Regalado, the mind behind INDXcoin and the Kingdom Wealth Exchange, faces accusations of securities fraud.
Regalado is alleged to have misled digital investors by assuring them that buying his coin would quickly result in a “miracle.” He used his religious sermons and persuasive language to convince followers that investing in INDXcoin was a step towards “the kingdom,” promising substantial financial returns.
By November 2023, the exchange and the cryptocurrency venture had ceased operations, leaving investors in the dark.
The lawsuit filed in Denver District Court by Tung Chan, the state securities commissioner, alleges that the Regalados sold around $3.4 million in “worthless” INDXcoins in 2022 and the early part of 2023. Investigation reveals that at least $1.3 million of this went directly to the Regalados, as indicated by subpoenaed bank records.
Chan argues that the couple lured religious believers into investing under the guise of supporting noble causes, such as aiding orphans and widows. However, these funds were allegedly funneled for their personal use, including lavish spending on luxury items like a Range Rover, jewelry, designer handbags, cosmetic dental work, and recreational rentals, as well as home renovations.
Moreover, about $290,000 was transferred to the church’s account, which notably lacks a physical presence.
Before its closure, INDXcoins were marketed at $1.50 each, with transactions conducted through Grace Led Marketing’s bank or Eli Regalado’s Venmo account.
Investors were led to believe each INDXcoin was valued at a minimum of $10, implying a total worth of $300 million for the 30 million coins in circulation. Yet, state investigations uncovered a mere $30,000.
Despite the INDXcoin website claiming an audit by cybersecurity firm Hacken, state investigators revealed that Hacken rated the project a dismal “0/10,” a fact omitted by the Regalados.
