Washington State Seeks $1.03M Fine, Ban for Crypto Kiosk Firm

Washington Regulator Seeks License Revocation

The Washington State Department of Financial Institutions (DFI) announced Sept. 3 that it had filed charges against GPD Holdings LLC, doing business as Coinflip, and CEO Benjamin Weiss. The enforcement action seeks penalties, refunds, and restrictions following alleged violations of Washington’s Uniform Money Services Act.

The agency stated:

“DFI seeks to revoke Coinflip’s license, prohibit the company and its responsible individual from the industry, and order the company and its responsible individual to pay a fine of $1,029,600.”

The charges followed a 2025 examination that allegedly identified deficient compliance and risk management practices. DFI said Coinflip’s crypto kiosk business presented a heightened scam risk for seniors, who generated more than 50% of the company’s Washington business. Crypto ATM scams targeting vulnerable consumers have drawn increasing attention from authorities. DFI Director Charlie Clark stated: “State regulators’ examination work is critical, and DFI will take action to address problems when companies fail to meet compliance expectations.”

DFI Details Alleged Compliance Failures

The 13-page statement of charges, issued Aug. 26, alleges that Coinflip lacked adequate anti-money laundering controls and allowed some customers to transact without required identifying information. It also cites insufficient transaction monitoring, unenforced limits, inaccurate regulatory reports, late currency transaction reports, unclear fee disclosures, and a transaction-alert backlog that was months overdue.