California regulators have ordered Bitcoin ATM operator Coinflip to pay over $4.8 million in restitution to scam victims.

November 9 - The California Department of Financial Protection and Innovation (DFPI) announced that it has ordered Bitcoin ATM operator Coinflip to pay over $4.8 million in full restitution to fraud victims in California and to pay more than $350,000 in excess fees to regulators.

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

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