California regulators order Bitcoin ATM operator Coinflip to pay more than $4.8 million in restitution to fraud victims

TechFlow reports, November 09, according to Bitcoin.com News, the California Department of Financial Protection and Innovation (DFPI) announced it has ordered Bitcoin ATM operator Coinflip to pay full restitution of more than $4.8 million to fraud victims in California and to pay regulators more than $350,000 in excess fees charged in violation of regulations.

Investigations found that since 2021, Coinflip has failed to adequately fulfill obligations such as customer identity verification and suspicious transaction monitoring. Some transactions exceeded California's $1,000 per-customer daily limit, and issues included missing pre-transaction disclosures and incomplete receipts.

Regulators also ordered Coinflip to cease the relevant unlawful and unfair business practices. This enforcement action involves approximately 500 cryptocurrency ATMs operated by the company in California.

Source: TechFlow