TLDR
- Former Southern Connecticut State University basketball player Elmin Redzepagic pleaded guilty to federal fraud and money laundering charges.
- More than 10 victims lost a combined $1,159,945 after he diverted their crypto investments to offshore casino Stake.com.
- He claimed a mysterious figure called “The Chef” controlled investor payouts and charged fake “gas fees” for withdrawals.
- He also admitted lying to IRS agents, including inventing a man named “Greg” who supposedly doubled investors’ money.
- Redzepagic remains free on a $500,000 bond, with sentencing set for January 11, 2027.
A former college basketball player has pleaded guilty to federal charges after gambling away more than $1.16 million that investors gave him to trade cryptocurrency. He used the money on the offshore casino Stake.com.
Elmin Redzepagic, 25, of Wolcott, Connecticut, entered his plea on Monday before US District Judge Kari A. Dooley in Bridgeport. The US Attorney’s Office for the District of Connecticut announced the plea.
Redzepagic admitted that he moved investor funds into Stake. More than 10 victims lost a combined $1,159,945.
When he was indicted in February, he denied any wrongdoing. At that time, prosecutors put the losses at about $950,000.
How the Crypto Scheme Worked
Between May 2021 and March 2025, Redzepagic presented himself as a successful cryptocurrency investor. He told people he could earn strong returns by trading digital assets.
He said he was part of an investment group run by a figure called “The Chef.” According to Redzepagic, this person decided how profits were split and which investors got paid. It is unclear whether The Chef ever existed.
After victims handed over money, he told them their investments had grown. Before they could withdraw, he said they had to pay extra charges he called “gas fees.”
Gas fees are real transaction costs on crypto networks. Prosecutors said Redzepagic used the term as an excuse to collect more money.
He was not investing the money at all. He sent it to Stake, where he used the platform to hold funds, create Bitcoin addresses for transfers, and gamble.
He also made small payments to some victims to convince them the investments were real. Prosecutors call these “lulling payments,” and they helped keep the fraud going.
The scheme began while he was still on the Southern Connecticut State University basketball team. He played in 31 games between 2019 and 2023 and averaged 1.7 points per game.
False Statements and Sentencing
Redzepagic was also accused of lying to IRS Criminal Investigation agents during a September 2023 interview. He denied that he was still using an offshore gambling site.
He also told agents that another man, whom he called “Greg,” had doubled investors’ money. Investigators found that Greg did not exist.
A federal grand jury first charged him with 21 counts. These included seven counts of wire fraud, 11 counts of international money laundering, and three counts of making false statements.
On Monday, he pleaded guilty to four counts. These were two counts of wire fraud, one count of international money laundering, and one count of making a false statement to federal investigators.
Each fraud and money laundering count carries a maximum of 20 years in prison. The false statement count carries up to five years.
Redzepagic was arrested on February 12. He remains free on a $500,000 bond, and his sentencing is set for January 11, 2027.
