With support from the Fund, Katia Savchuk spent a year reporting on a Denver pastor and his wife who say God told them to launch their own cryptocurrency. Though they had no background in crypto, they hawked their INDXcoin in Christian communities. More than 500 people – including retirees and a disabled veteran – handed over around $3 million. When the venture collapsed, investors lost it all. The couple, who are facing 40 felony charges, admit to spending around $1.4 million of the funds on personal expenses. A judge found that they had orchestrated a religious cryptocurrency scam, a form of affinity fraud that preys on shared community ties. For MIT Technology Review, Savchuk delved deep into the case, as well as the broader rise in crypto fraud and a federal pullback in enforcement efforts against the industry.
Grantee digs into case of religious cryptocurrency fraud, pulling back curtain on lax federal oversight
