A few days ago, CoinsPaid, including CryptoProcessing, issued a press release claiming to be the largest crypto payment ecosystem. Allegedly, it has processed over €16 billion worth of crypto in total and continues growing by nearly €1 billion per month in the declining market. In Q3 2022, CoinsPaid allegedly processed 4.9 million transactions worth approximately €3 billion. We exposed CoinsPaid as a payment processor in broker scams and illegal gambling ventures. Impressive, isn’t it?
|Business activity||Crypto exchange & OTC desk operator|
High-Risk crypto payment processor
|Social media||LinkedIn, Facebook, Instagram,|
|Legal entities||Dream Finance OÜ (Estonia)|
Dream Finance UAB (Lithuania)
Dream Finance S.A. (El Salvador)
A.R. Merkeleon GmbH (AT)
Skylock Investments Ltd (CY)
|Jurisdictions||Estonia, Austria, Cyprus,|
|Authorization||FIU crypto license no FVT000166|
|Related individuals||Alexander Horst Riedinger, Austria (LinkedIn)|
Maksym Krupyshev, Ukraine (LinkedIn)
Andrei Koposov, Georgia (LinkedIn)
Frédéric Georges Hubin
In the latest announcement, CoinsPaid said that it nearly doubled its transaction volume compared to Q3 2021, whereby it handled close to 2.5 million transactions with a volume of about €1.5 billion. The average transactions of both quarters remained almost the same at a mere difference of €47.
On its website, CryptoProcessing (by CoinsPaid) claims to be the #1 crypto processor worldwide in terms of transaction volume. In a recently published detailed article on Medium, the payment processor reported that it had already processed over €13 billion from more than 800 partners (merchants) since its inception. ZERO chargebacks would have been paid in the process.
A look at the Similarweb data of the two websites, CryptoProcessing.com (here) and CoinsPaid.com (here) shows that significant parts of the website visitors come from South America, Europe, and Russia.
So CoinsPaid group is a high-risk payment processor specializing in online gambling and casinos. There, chargebacks are one of the big problems that can be circumvented with crypto payments. The merchants of the CoinsPaid group reportedly have more than 10 million customers.
The Austrian Owner
Both crypto platforms are operated by Dream Finance OÜ, which is registered in Estonia and holds a crypto license from the FIU. The beneficial owner of this Estonian entity is the Austrian Alexander Horst Riedinger, who runs the software company A.R. Merkeleon GmbH (www.merkeleon.com) in Austria, which specializes in the crypto segment. This, in turn, is 50% owned by Riedinger and 50% by Cyprus-registered Skylock Investments Ltd.
The co-founder and CEO is Maksym Krupyshev, a/k/a Max Krupyshev, a Ukrainian living in Berlin, who also confirms this on his LinkedIn profile. We, therefore, assume that Krupyshev is behind Cyprus-based Skylock Investments.
The Georgian Andrei Koposov serves as chief technology officer at both CoinsPaid and its related Austrian company Merkeleon.
If you have any information about CoinsPaid, CryptoProcessing, its operators, and its activities, please let us know via our whistleblower system, Whistle42.