Missouri Attorney General Sues Crypto ATM Operator CoinFlip for Enabling Scams

Cryptocurrency ATMs allow consumers to buy Bitcoin with cash, but transactions are irreversible and difficult to trace, while fees are often poorly disclosed. The machines have become a channel for scammers to move illicit proceeds. The U.S. Federal Trade Commission reported more than $65 million in related fraud losses in the first half of 2024, and the Missouri Attorney General’s Office launched a statewide investigation in December 2025.

On May 20, 2026, Missouri Attorney General Catherine Hanaway sued CoinFlip parent GPD Holdings LLC, alleging that more than 140 of its machines in the state knowingly facilitated scams and that the company profited from high fees. The state is seeking to bar CoinFlip from operating, secure compensation for victims and impose a $1,000 penalty for each violation over the past five years, up to $1.826 million.