Washington State Regulator Accuses Coinflip and CEO Benjamin Weiss of Money Services Law Violations

Washington State's Department of Financial Institutions has accused Coinflip and CEO Benjamin Weiss of violating the Uniform Money Services Act and is seeking to revoke the company's money transmission license, bar the firm and related executives from the industry, and impose a $1.0296 million fine. According to Odaily, the agency said a 2025 examination found inadequate anti-money laundering controls, insufficient transaction monitoring, failure to enforce transaction limits, inaccurate regulatory reporting, and unclear fee disclosures. It also alleged that Coinflip did not timely refund funds to at least 15 customers. The proposed order would require Coinflip to refund eligible Washington customers, while customers aged 60 and older could receive refunds of transaction fees and markup charges. Coinflip and Benjamin Weiss may request an administrative hearing to contest the allegations, refund requirements, license revocation, fine, and industry ban.