According to CoinTelegraph, on May 20, the office of Missouri Attorney General Kathleen Harnavey announced charges against GPD Holdings (doing business as CoinFlip), accusing it of knowingly assisting fraudulent transactions and profiting from them. The alleged scheme targets senior citizens and veterans, with a maximum fine of $1.83M.
Confirmed details of the lawsuit allegations and requested relief
According to the Missouri Attorney General’s official announcement, the full relief requested in the lawsuit is as follows: “The Attorney General’s Office asks the court to declare that CoinFlip’s actions violate the Missouri Merchandising Practices Act; to prohibit CoinFlip from operating in Missouri; to impose a civil penalty of $1,000 for each violation over the past five years (up to $1.83M); and to order CoinFlip to provide restitution to consumers.”
The core allegation is that GPD Holdings knowingly assisted fraudulent transactions and profited from them, with the scams including fraud targeting senior citizens and veterans in Missouri. Missouri had previously, in December 2025, launched investigations into multiple cryptocurrency ATM companies, alleging conduct involving “deceptive fee structures” and fraud. CoinFlip was within the scope of the investigation.
Broader crypto ATM regulatory background
In recent months, crypto ATM operators have continued to be enforcement targets of U.S. state governments and municipal authorities, with multiple jurisdictions passing laws and ordinances restricting or banning this technology.
Bitcoin Depot case: Bitcoin Depot, also within the scope of Missouri’s December 2025 investigation, has recently filed for Chapter 11 voluntary bankruptcy protection in Texas. Before filing, Bitcoin Depot disclosed that it faced more than $20 million in legal judgment payments in the fourth quarter of 2025 and “ongoing litigation matters.” Bitcoin Depot is one of North America’s largest crypto ATM operators, with more than 9,000 self-service kiosks worldwide.
FAQs
What is the main legal basis for Missouri’s lawsuit against CoinFlip?
According to the Missouri Attorney General’s official announcement, the lawsuit is mainly based on the Missouri Merchandising Practices Act. It accuses GPD Holdings (CoinFlip) of knowingly assisting fraudulent transactions and profiting from them, involving a series of scams targeting senior citizens and veterans.
How large is CoinFlip’s business in Missouri right now?
According to CoinFlip’s official website, CoinFlip operates 136 crypto ATMs in Missouri, and 4,229 nationwide across the U.S. CoinTelegraph contacted CoinFlip to request comment, but as of the time of reporting it had not received a response.
Is this the first state-level lawsuit in the U.S. against a crypto ATM operator?
According to CoinTelegraph, this is the latest action by U.S. state governments targeting digital currency kiosks and ATMs. In recent months, multiple states and city governments have passed laws restricting or banning crypto ATMs. Missouri also began investigating multiple crypto ATM companies in December 2025.
