CryptoPay
Key Data
- Trading Name: CryptoPay
- Legal Entities: CPS Solutions OÜ, UAB CPS Payments, CPS Transfers Limited, DiPocket UAB
- Activities: Crypto payment processor
- Location: Estonia, Lithuania
- Regulations: unregulated
- Key People: Dmitrii Guniashov (Co-founder and CEO), Alexey Siderov (CFO), Pavel Makarenko (CTO)
- Latest news: CryptoPay
- Latest update: Aug 21, 2024
Background
CryptoPay is a crypto payment processor operated by three key entities:
- CPS Solutions OÜ, a legal entity with a crypto license issued by the Estonian FIU.
- UAB CPS Payments, a legal entity registered as a Virtual Currency Exchange Operator in Lithuania.
- CPS Transfers Limited, registered in UK and authorized by the Financial Conduct Authority (FCA) as a Small Payment Institution (SPI).
In the EU, the Cryptopay Visa debit card is issued by DiPocket UAB, an E-Money Institution (EMI) authorized by the Bank of Lithuania. DiPocket UAB is a Principal Member of Visa.
Financial Situation
The CPS Group has a share capital of €375,000 in the entities in Lithuania and Estonia. The Lithuanian entity shows a net profit of more than €1.16 for 2023. The Estonian entity shows a taxable turnover of just under €2.2 million for 2024.
The UK entity shows net assets of around GBP 361,000 at the end of 2022, although the company generated a profit in the years before that. In this respect, the CPS Group appears to have sufficient capital for its activities.
The Offering
CryptoPay is a crypto payment processor that offers its services to both private customers and merchants. Customers can open online wallets, buy cryptocurrencies and make payments. Merchants can also accept payments from their customers in cryptocurrencies and pay suppliers via the wallet.
CryptoPay also offers Visa cards (physical and virtual). The virtual card is free, issuing the physical card costs €5. The website provides detailed information on the various limits. With the Visa card, customers can make purchases with their crypto credit and the conversion takes place automatically and in real time.
Compliance Check
CryptoPay is registered as a crypto services provider in Estonia and Lithuania but does not yet have MiCA authorization. For the provision of services, CryptoPay cooperates with authorized financial institutions.
The website provides transparent information about the company and its products. There are links to social media channels where you can also find the executives and team members. The transparency is exemplary and thus there is a green flag for it.
However, we have found CryptoPay used as a payment processor for crypto deposits in some illegal online casino activities, which raises a definite red flag.
Customer Feedback
On Trustpilot, CryptoPay has a 3.3-star rating with an average trust level. We saw that the company responded to 100% of the critical reviews within a week. This also results in a green flag in the area of customer support.
Rating Conclusion
CryptoPay has the necessary authorizations for its activities and also works with authorized companies. This results in a Green Compliance Rating. Customer support appears to be very good. The company’s transparency is even exemplary.
Unfortunately, we have also discovered the crypto payment processor as a payment facilitator at illegally operating online casinos. We therefore have to add the provider to our Orange Compliance List. However, the risk for customers should be low. We therefore leave CryptoPay on our Green Risk list.
