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 enabled scams against seniors and veterans.
- State seeks Missouri ban, restitution, and civil penalties of up to $1.826 million.
- Bitcoin Depot’s bankruptcy shows crypto ATM operators face mounting legal and regulatory pressure.
Missouri Attorney General Catherine Hanaway filed the case against GPD Holdings LLC, doing business as CoinFlip, on May 21. Her office said the company allegedly “knowingly facilitating fraudulent transactions and profiting from them” through cryptocurrency kiosks across the state.
The complaint asks the court to declare that CoinFlip’s 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.
State cites seniors, veterans and hidden fees
Hanaway’s office said the case centers on scam activity that used crypto ATMs to move victims’ 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.
The AG also pointed to fraud risks for seniors and veterans. In the lawsuit notice, Hanaway said “Bitcoin and crypto ATMs are the new getaway cars for fraud,” adding that her office would focus on protecting Missourians, especially older residents and veterans.
Investigation began after statewide scam reports
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 “hidden fees and deceptive charges” and scam activity involving Bitcoin ATMs.
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’s IC3 portal, and the attorney general’s office.
According to the AG’s office, the Missouri State Highway Patrol’s 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.
Crypto ATM pressure widens across states
CoinFlip’s 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.
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.
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.
