CoinsPaid and CryptoProcessing: Latest Q3 2024 Report, Major Cyberattacks, and Rising Allegations of Financial Misconduct

CoinsPaid, a leading crypto payment processor, has released its Q3 2024 results, reporting an impressive €2.23 billion in transactions processed, marking a 27% year-over-year growth. However, amidst these achievements, the group faces a series of serious allegations and regulatory challenges.

Key Highlights
Q3 2024 Performance: CryptoProcessing, CoinsPaid's flagship payment platform, processed over 2.52 million transactions, largely within high-risk industries such as online entertainment and interactive services. CFO Hanna Drabysheuskaya attributes this growth to the unique advantages of crypto, including lower fees and seamless cross-border transactions.
Corporate Structure: CoinsPaid operates through entities across jurisdictions in Estonia, Lithuania, and El Salvador, with key ownership traced to Alexander Horst Riedinger and Max Krupyshev. Ukrainian crypto influencer Krupyshev serves as CEO, supported by strategic contributors like SoftSwiss founder Ivan Montik.
Cybersecurity Concerns: CoinsPaid has encountered two significant hacking incidents. In January 2024, a breach led to $7.5 million in losses, followed by a more substantial $37.3 million loss in July, allegedly tied to the North Korean Lazarus Group. Despite assurances of client fund protection, these events have sparked concerns regarding the company's liquidity and solvency.
Allegations of Financial Misconduct and Money Laundering: A wave of anonymous online accusations targets CoinsPaid's financial integrity. Reports from sources like CoinsPaidReport.com allege involvement in extensive money-laundering activities for offshore service providers, facilitated through networks linked to Eastern European interests. Critics also suggest that figures such as Paata Gamgoneishvili and Roland Yakovlevich Isaev, associated with Eastern European business interests, exert influence behind the scenes in CoinsPaid's operations.
Connections with AlphaPo: Investigations point to overlaps between CoinsPaid and AlphaPo, hinting at shared resources and potentially unified operations. Both companies reportedly experienced simultaneous security breaches, suggesting possible systemic vulnerabilities.
Reputation and Regulatory Scrutiny: CoinsPaid's growing presence in high-risk sectors has attracted regulatory attention. Anonymous reports, as well as exposés by investigative platforms, suggest that CoinsPaid may be at risk of hidden insolvency due to undisclosed liabilities and that its connections could warrant further regulatory action.
Conclusion
While CoinsPaid remains a key player in crypto processing, these recent allegations raise substantial concerns about its operational integrity. As the industry evolves, ongoing scrutiny from regulators and law enforcement may be crucial in addressing systemic risks and ensuring financial transparency.

For more information, visit: https://payrate42.com/comprehensive-analysis-report-on-coinspaid-and-cryptoprocessing-latest-numbers-and-massive-anonymous-attacks/

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PayRate42 is a rating agency specializing in payment processors. Our main goal is to protect merchants and consumers by providing transparency through the evaluation and rating of financial service providers. High-Risk Payment Processors (HRPP) operating outside the established regulatory framework are our primary focus.

This release was published on openPR.