A 24-year-old former Connecticut resident is facing federal charges for allegedly running a cryptocurrency scam that defrauded victims of nearly $1 million.
Elmin Redzepagic was charged with seven counts of wire fraud, 11 counts of international money laundering, and three counts of making false statements to IRS Criminal Investigation agents, according to the U.S. Attorney for Connecticut. Each charge carries significant prison time, with the combined maximum penalty totaling up to 375 years.
Authorities allege the scheme took place from May 2021 through March 2025. Redzepagic, a former guard for Southern Connecticut State University basketball team, marketed himself as a cryptocurrency expert who promised high returns to investors. Victims were told they had earned substantial profits but needed to pay extra “gas fees” to withdraw their money.
Investigators say Redzepagic claimed to work with a team, including someone known as “The Chef,” who supposedly controlled payouts. In reality, authorities allege, the team and structure were entirely fabricated.
According to the indictment, Redzepagic did not invest the funds in cryptocurrency. Instead, he allegedly transferred the money to Stake.com, an offshore gambling platform, where he held funds, generated cryptocurrency addresses, and made occasional “lulling” payments to victims. Investigators say he lost approximately $950,000 of victims’ money gambling.
Redzepagic is also accused of lying to IRS Criminal Investigation agents during questioning in September 2023.
Each wire fraud and money laundering charge carries a maximum of 20 years in prison, and each false statement charge carries up to five years. Redzepagic, who recently lived in Florida, was released on a $500,000 bond.
