Ex-College Basketball Player Admits Gambling Away $1.16M on Stake.com

A former college basketball player who defrauded cryptocurrency investors and gambled away their money on offshore casino Stake.com has pleaded guilty to federal fraud and money laundering charges.

Elmin Redzepagic, 25, of Wolcott, Conn., entered his plea Monday before US District Judge Kari A. Dooley in Bridgeport, according to the US Attorney’s Office for the District of Connecticut.

The former Southern Connecticut State University (SCSU) basketball player admitted siphoning investors’ funds into Stake, causing losses of $1,159,945 to more than 10 victims.

When Casino.org reported his indictment in February, Redzepagic denied wrongdoing. At that time, prosecutors estimated the losses at around $950,000.

Mysterious ‘Chef’ Ran the Show

Between May 2021 and March 2025, Redzepagic presented himself as a successful cryptocurrency investor who could generate substantial returns from trading digital assets.

He claimed to be part of an investment operation run by a mysterious figure known as “The Chef,” who supposedly determined how profits were distributed and which investors received payouts.

Once victims handed over their money, Redzepagic told them their investments had generated substantial profits. However, before they could withdraw their earnings, they needed to pay additional charges he called “gas fees.”

Gas fees are legitimate transaction costs associated with cryptocurrency networks, but Redzepagic used the term as a pretext to extract more money from his victims, according to prosecutors.

In reality, he wasn’t investing their money at all.

Instead, he transferred the funds to Stake, using the platform to receive and hold proceeds, generate cryptocurrency addresses for Bitcoin transfers, and make occasional payments designed to convince victims their investments were legitimate.

These so-called “lulling payments” helped perpetuate the fraud while Redzepagic continued gambling away the money.

Lies to Investigators

Redzepagic was also accused of lying during a September 2023 interview with IRS Criminal Investigation agents.

According to the original indictment, he denied continuing to use an offshore gambling platform and claimed that another man, whom he called “Greg,” had doubled investors’ money. Investigators determined that Greg did not exist.

The fraud began while Redzepagic was still playing basketball for SCSU, making 31 appearances between 2019 and 2023, averaging 1.7 points per game.

A federal grand jury initially charged him with 21 offences, including seven counts of wire fraud, 11 counts of international money laundering, and three counts of making false statements.

On Monday, he pleaded guilty to two wire fraud counts, one international money laundering count, and one count of making a false statement to federal investigators.

The fraud and money laundering offences each carry a statutory maximum of 20 years in prison, while the false statement offence carries up to five years.

Redzepagic, who was arrested February 12, remains free on a $500,000 bond pending sentencing scheduled for January 11, 2027.