FOR IMMEDIATE RELEASE FROM
THE WASHINGTON DEPARTMENT OF FINANCIAL INSTITUTIONS

Monday, Dec. 1, 2025

CONTACT:
Lyn Peters, DFI Director of Communications
PH 360-349-8501 or [email protected]

Kendall Freed, DFI Division of Consumer Services Chief of Enforcement
PH 360-902-8703 or [email protected]

Washington State DFI Takes Action Against CoinMe To Halt All Money Transfers in Washington Due to Unsafe and Unsound Practices and Likely Consumer Harm

DFI’s Temporary Order to Cease and Desist Prohibits CoinMe from collecting any new funds for transmission and orders consumer refunds related to kiosk operations in Washington State

Olympia – The Washington State Department of Financial Institutions (DFI) issued both a Temporary Order to Cease and Desist (TCD) and a Statement of Charges (Charges) against Seattle, WA-based company, CoinMe, Inc. (CoinMe). The TCD and Charges relate to CoinMe’s money transmission and virtual currency kiosk operations in Washington, and allege the company has committed multiple violations of the Uniform Money Services Act (Chapter 19.230 RCW).

DFI alleges CoinMe inappropriately claimed more than $8 million owed to consumers as its own income through a system that required consumers to purchase virtual currency paper vouchers at kiosks to be redeemed on CoinMe’s website or mobile application. When consumers did not redeem their purchased vouchers during a specific timeframe, CoinMe claimed the amounts owed to those consumers as income. DFI also asserts that CoinMe did not disclose material information to consumers about the timeframe allowed to redeem vouchers and did not properly return unclaimed consumer property to the State of Washington as required by law. CoinMe also listed an inactive consumer support phone number on the vouchers provided to consumers.

The Charges also allege that from 2020 to 2025 CoinMe:

  • Failed to maintain the legally required tangible net worth, which ensures safe and sound business practices;
  • Did not maintain records substantiating that the required level of permissible investment requirements were met;
  • Failed to timely report required information to DFI; and
  • Filed inaccurate reports with DFI.

After investigating, DFI determined that the violations outlined in the Charges are likely to cause immediate and irreparable harm to Washington consumers. Based on that determination, DFI also entered the TCD to immediately stop CoinMe’s ongoing operations in Washington to prevent further consumer harm while seeking to revoke the company’s license in Washington.

“Washington’s money transmission laws exist to protect consumers that rely on licensed companies to safely transmit funds,” DFI Director Charlie Clark said. “When our investigations reveal serious violations, we will take appropriate action.”

Based on the alleged violations of the Uniform Money Services Act of Washington, the Statement of Charges announces DFI’s intent to order CoinMe to pay restitution to Washington State consumers, CoinMe to pay a fine, and that CoinMe’s money transmitter license be revoked.

Documents

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About DFI ▪ www.dfi.wa.gov ▪ 360-902-8700 ▪ 877-RINGDFI (746-4334)
The Washington State Department of Financial Institutions regulates a variety of financial service providers such as banks, credit unions, mortgage brokers, consumer loan companies, payday lenders and securities brokers and dealers. The department also works to improve financial education throughout Washington through its outreach programs and online clearinghouse www.dfi.wa.gov/financial-education. In addition to posting information about licensees and administrative actions, DFI uses the Web and social media to provide financial education information: https://www.facebook.com/wadfi ■ www.instagram.com/wastatedfi/ ■ https://x.com/dficonsumers ■ https://dfi.wa.gov/financial-education/blog ■ https://www.youtube.com/user/WADFI ■ www.homeownership.wa.gov ■ www.linkedin.com/company/state-of-washington-department-of-financial-institutions/ ■ https://bsky.app/profile/wastatedfi.bsky.social

About the Division of Consumer Services ▪ www.dfi.wa.gov/cs ▪ 360-902-8703 ▪ 877-746-4334
The mission of the Division of Consumer Services is to protect consumers from illegal and fraudulent financial products and services. The division accomplishes its mission through licensing, licensee examinations, investigations, and enforcing selected state and federal statutes and rules. Consumer Services regulates the business activities of consumer loan companies, mortgage brokers, money transmitters, and currency exchangers, as well as check cashers and sellers, also known as "payday lenders." The Division is entirely self-supporting, with funding provided by licensing, auditing, and policing of regulated businesses and individuals. No money is received from the state General Fund or other public revenue source.

 

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