{"id":29256,"date":"2026-05-21T07:12:22","date_gmt":"2026-05-21T07:12:22","guid":{"rendered":"https:\/\/bitunikey.com\/news\/coinflip-faces-missouri-lawsuit-over-alleged-crypto-atm-scams\/"},"modified":"2026-05-21T07:12:34","modified_gmt":"2026-05-21T07:12:34","slug":"coinflip-faces-missouri-lawsuit-over-alleged-crypto-atm-scams","status":"publish","type":"post","link":"https:\/\/bitunikey.com\/news\/coinflip-faces-missouri-lawsuit-over-alleged-crypto-atm-scams\/","title":{"rendered":"CoinFlip faces Missouri lawsuit over alleged crypto ATM scams"},"content":{"rendered":"<p><\/p>\n<div class=\"post-detail__content blocks\">\n<p><strong>Missouri has sued GPD Holdings LLC, the company behind CoinFlip, alleging the crypto ATM operator enabled scam transactions and used poorly disclosed fees.<\/strong><\/p>\n<div id=\"cn-block-summary-block_2b408780447674bdabad37f66ec7c14e\" class=\"cn-block-summary\">\n<div class=\"cn-block-summary__nav tabs\">\n        <span class=\"tabs__item is-selected\">Summary<\/span>\n    <\/div>\n<div class=\"cn-block-summary__content\">\n<ul class=\"wp-block-list\">\n<li>Missouri sued CoinFlip, alleging crypto ATMs enabled scams against seniors and veterans.<\/li>\n<li>State seeks Missouri ban, restitution, and civil penalties of up to $1.826 million.<\/li>\n<li>Bitcoin Depot\u2019s bankruptcy shows crypto ATM operators face mounting legal and regulatory pressure.<\/li>\n<\/ul><\/div>\n<\/div>\n<p><!-- .cn-block-summary --><\/p>\n<p>Missouri Attorney General Catherine Hanaway <a rel=\"nofollow\" target=\"_blank\" href=\"https:\/\/ago.mo.gov\/attorney-general-hanaway-files-suit-against-crypto-atm-network-for-enabling-scams\/\" target=\"_blank\" rel=\"nofollow\">filed<\/a> the case against GPD Holdings LLC, doing business as CoinFlip, on May 21. Her office said the company allegedly \u201cknowingly facilitating fraudulent transactions and profiting from them\u201d through cryptocurrency kiosks across the state.<\/p>\n<p>The complaint asks the court to declare that CoinFlip\u2019s conduct violated the Missouri Merchandising Practices Act. The state also wants to stop CoinFlip from operating in Missouri, recover restitution for consumers, and impose $1,000 per violation, capped at $1.826 million for the past five years.<\/p>\n<p>    <!-- .cn-block-related-link --><\/p>\n<h2 class=\"wp-block-heading\"><strong>State cites seniors, veterans and hidden fees<\/strong><\/h2>\n<p>Hanaway\u2019s office said the case centers on scam activity that used crypto ATMs to move victims\u2019 money quickly and with limited recovery options. The office said these transactions can carry poorly disclosed fees and are often hard to trace once completed.<\/p>\n<figure class=\"wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter\">\n<div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"twitter-tweet\" data-width=\"550\" data-dnt=\"true\">\n<p lang=\"en\" dir=\"ltr\">Bitcoin and crypto ATMs are the new getaway cars for fraud, whisking away innocent people\u2019s money to scammers, never to return. <\/p>\n<p>My office has filed suit against the crypto ATM network CoinFlip for facilitating fraudulent transactions and profiting from them with convoluted and\u2026 <a rel=\"nofollow\" target=\"_blank\" rel=\"nofollow\" href=\"https:\/\/t.co\/wm9Mn6jcaO\">pic.twitter.com\/wm9Mn6jcaO<\/a><\/p>\n<p>\u2014 Attorney General Catherine L. Hanaway (@AGCHanaway) <a rel=\"nofollow\" target=\"_blank\" href=\"https:\/\/twitter.com\/AGCHanaway\/status\/2057151166924923373?ref_src=twsrc%5Etfw\" target=\"_blank\" rel=\"nofollow\">May 20, 2026<\/a><\/p><\/blockquote>\n<\/div>\n<\/figure>\n<p>The AG also pointed to fraud risks for seniors and veterans. In the lawsuit notice, Hanaway said \u201cBitcoin and crypto ATMs are the new getaway cars for fraud,\u201d adding that her office would focus on protecting Missourians, especially older residents and veterans.<\/p>\n<h2 class=\"wp-block-heading\"><strong>Investigation began after statewide scam reports<\/strong><\/h2>\n<p>The lawsuit follows a December 2025 investigation into cryptocurrency kiosk operators in Missouri. At the time, the attorney general said the office was reviewing claims tied to \u201chidden fees and deceptive charges\u201d and scam activity involving Bitcoin ATMs.<\/p>\n<p>The state said common warning signs include urgent calls, claims of legal trouble, demands for secrecy, and instructions to withdraw cash before sending it through a crypto ATM. It urged affected consumers to contact law enforcement, the FBI\u2019s IC3 portal, and the attorney general\u2019s office.<\/p>\n<p>According to the AG\u2019s office, the Missouri State Highway Patrol\u2019s Missouri Information Analysis Center and the St. Louis Fusion Center linked 350 crypto cases over the past two years to cryptocurrency ATMs. The office also cited FTC data showing crypto ATM fraud losses rose nearly tenfold from 2020 to 2023.<\/p>\n<h2 class=\"wp-block-heading\"><strong>Crypto ATM pressure widens across states<\/strong><\/h2>\n<p>CoinFlip\u2019s own locator page lists 136 CoinFlip ATM locations in Missouri, including machines in St. Louis, Columbia, Kansas City, Springfield, and other cities. The Missouri AG release said CoinFlip operates more than 140 kiosks in the state.<\/p>\n<p>Related coverage shows that the crypto ATM sector is under pressure beyond Missouri. Bitcoin Depot filed for Chapter 11 bankruptcy in Texas after regulatory actions, legal cases, and falling revenue weighed on its business. A May 18 report said Bitcoin Depot had also taken its global ATM network offline.<\/p>\n<p>CoinFlip has published scam-prevention material warning that crypto transactions are final and irreversible. Its terms page also warns users that fraudulent transactions may result in loss of money or cryptocurrency. The Missouri lawsuit now tests whether those warnings and controls were enough under state consumer protection law.<\/p>\n<p>    <!-- .cn-block-related-link --><\/p><\/div>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Missouri has sued GPD Holdings LLC, the company behind CoinFlip, alleging the crypto ATM operator enabled scam transactions and used poorly disclosed fees. Summary Missouri sued CoinFlip, alleging crypto ATMs&hellip;<\/p>\n","protected":false},"author":1,"featured_media":2800,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-29256","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cryptocurrency"],"_links":{"self":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts\/29256","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/comments?post=29256"}],"version-history":[{"count":1,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts\/29256\/revisions"}],"predecessor-version":[{"id":29257,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts\/29256\/revisions\/29257"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/media\/2800"}],"wp:attachment":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/media?parent=29256"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/categories?post=29256"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/tags?post=29256"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}