BLANCH SAYS A WARRANT HAS NOW BEEN ISSUED FOR CASTRO’S ARREST. MISSOURI’S ATTORNEY GENERAL IS TRYING TO STOP SCAMMERS. SHE FILED SUIT TODAY AGAINST ONE OF THE BIGGEST CRYPTO ATM COMPANIES IN MISSOURI. INVESTIGATIVE REPORTER MATT FLENER EXPLAINS WHY SHE’S GOING AFTER THIS COMPANY. WE COVER STORIES WITH BITCOIN ATMS. IN THE PAST, POLICE AND TODAY, MISSOURI’S ATTORNEY GENERAL SAID THEY CAN BE USED FOR FRAUD. THIS IS AN EXAMPLE OF A BITCOIN ATM HERE. AND THE MISSOURI ATTORNEY GENERAL OPENED UP A LAWSUIT AGAINST THIS COMPANY. COIN FLIP. WE COVERED MULTIPLE STORIES WHERE SENIORS ARE SCAMMED INTO PUTTING THEIR LIFE SAVINGS INTO CRYPTO ATM MACHINES. IT IS CONVERTED THEN INTO CRYPTOCURRENCY, AND IT IS HARD TO TRACE. OFTEN YOU CAN’T REVERSE THE TRANSACTIONS. MISSOURI HIGHWAY PATROL SAYS OVER THE PAST COUPLE OF YEARS, 350 CRYPTO CASES HAVE INVOLVED A CRYPTOCURRENCY ATM. TODAY, THE MISSOURI ATTORNEY GENERAL SAID SHE IS TRYING TO PROTECT PEOPLE, ESPECIALLY SENIORS AND VETERANS, IN MISSOURI. IT ISN’T CRYPTO THAT’S INHERENTLY BAD. IT’S THESE ATM SCAMS AND AND ALL THE FRAUDSTERS WHO USE THEM AS THE MECHANISM TO TRANSMIT YOUR MONEY. THE FEDERAL TRADE COMMISSION REPORTS CRYPTO ATMS FROM MULTIPLE COMPANIES ACCOUNTED FOR MORE THAN $65 MILLION LOST T
Missouri Attorney General Catherine Hanaway filed a lawsuit on Wednesday against one of the largest Bitcoin ATM companies in the world. The lawsuit is seeking millions of dollars in civil penalties and restitution for victims.Hanaway’s lawsuit filed in Jasper County on behalf of three victims comes as prosecutors and attorneys general across the country have started a growing crackdown on crypto ATM operators.The lawsuit alleges GPD Holdings LLC, doing business as “CoinFlip,” operated crypto ATMs that became routinely used by scammers for romance scams, fake investment opportunities and extortion attempts.Hanaway, at a press conference Wednesday, highlighted how CoinFlip also charged transaction fees that are not often prominently displayed.CoinFlip charges a transaction fee ranging up to 21.90% of the transaction value, the lawsuit says.”These are big, big fees,” Hanaway said. “It’s a big, big scam. But more importantly, these crypto ATM machines have become the getaway car for fraudsters in Missouri.” The lawsuit cites both Federal Trade Commission and Federal Bureau of Investigation data that showed crypto ATM losses from multiple companies increasing nearly tenfold from 2023. Median losses from crypto ATM scams are around $10,000 nationally, the lawsuit said.The lawsuit also seeks to stop CoinFlip from continuing to operate its machines in Missouri until CoinFlip implements fraud-prevention measures.CoinFlip issued this statement: “Attorney General Hanaway’s lawsuit is meritless. It’s a misguided attack on the company that has spent years urging the passage of cryptocurrency kiosk consumer protection laws in Missouri and across the country. Missouri’s 2025 cryptocurrency kiosk consumer protection legislation exists because CoinFlip demanded it. We drove the effort to establish mandatory licensure, stronger compliance standards, and meaningful consumer protection requirements designed to protect Missourians from criminal scammers. We engaged directly with lawmakers, led the charge, and got it done.The Attorney General is wrongfully targeting the company that championed the law that protects Missourians from criminal scammers. Rather than waste taxpayer money pursuing a licensed and regulated company, the Attorney General’s office should investigate, catch and stop those criminals preying on Missourians across the financial services ecosystem. CoinFlip will fight this lawsuit aggressively, and we look forward to demonstrating that these allegations are baseless.”
Missouri Attorney General Catherine Hanaway filed a lawsuit on Wednesday against one of the largest Bitcoin ATM companies in the world. The lawsuit is seeking millions of dollars in civil penalties and restitution for victims.
Hanaway’s lawsuit filed in Jasper County on behalf of three victims comes as prosecutors and attorneys general across the country have started a growing crackdown on crypto ATM operators.
The lawsuit alleges GPD Holdings LLC, doing business as “CoinFlip,” operated crypto ATMs that became routinely used by scammers for romance scams, fake investment opportunities and extortion attempts.
Hanaway, at a press conference Wednesday, highlighted how CoinFlip also charged transaction fees that are not often prominently displayed.
CoinFlip charges a transaction fee ranging up to 21.90% of the transaction value, the lawsuit says.
“These are big, big fees,” Hanaway said. “It’s a big, big scam. But more importantly, these crypto ATM machines have become the getaway car for fraudsters in Missouri.”
The lawsuit cites both Federal Trade Commission and Federal Bureau of Investigation data that showed crypto ATM losses from multiple companies increasing nearly tenfold from 2023.
Median losses from crypto ATM scams are around $10,000 nationally, the lawsuit said.
The lawsuit also seeks to stop CoinFlip from continuing to operate its machines in Missouri until CoinFlip implements fraud-prevention measures.
CoinFlip issued this statement:
“Attorney General Hanaway’s lawsuit is meritless. It’s a misguided attack on the company that has spent years urging the passage of cryptocurrency kiosk consumer protection laws in Missouri and across the country. Missouri’s 2025 cryptocurrency kiosk consumer protection legislation exists because CoinFlip demanded it. We drove the effort to establish mandatory licensure, stronger compliance standards, and meaningful consumer protection requirements designed to protect Missourians from criminal scammers. We engaged directly with lawmakers, led the charge, and got it done.
The Attorney General is wrongfully targeting the company that championed the law that protects Missourians from criminal scammers. Rather than waste taxpayer money pursuing a licensed and regulated company, the Attorney General’s office should investigate, catch and stop those criminals preying on Missourians across the financial services ecosystem. CoinFlip will fight this lawsuit aggressively, and we look forward to demonstrating that these allegations are baseless.”