MoonPay

Maltese crypto payment processor

Key Data

  • Trading Name: MoonPay
  • Legal Entity: MoonPay (UK) Limited, MoonPay USA LLC, MoonPay Technology Services Limited, MoonPay Italy s.r.l., MP Services AG, MP Technology Services Ltd
  • Activities: Platform for cryptocurrency purchases.
  • Location: United States, UK, Ireland, Italy, Singapore, Malta, Seychelles
  • Regulations: registered crypto business in several jurisdictions, registered money service business.
  • Key People:  Victor Faramond (LinkedIn profile), Ivan Soto-Wright (LinkedIn profile)

MoonPay, operated by MoonPay Inc, Maltese Moon Pay Limited, MoonPay Technology Services Limited, Ireland, and other legal entities across different jurisdictions, is a financial technology company that builds payments infrastructure for crypto. In the US, MoonPay is registered as a money service business (NMLS ID: 2071245).

In Nov 2021, Moonpay announced it had closed a $555 million Series A financing round at a $3.4 billion valuation. The round was led by Tiger Global Management and Coatue, with participation from Blossom Capital, Thrive Capital, Paradigm, and NEA.

The US resident Ivan Soto-Wright (LinkedIn profile) is the company’s co-founder and CEO; he is also the founder and general partner of the New York-based venture capital firm HODL.vc. His co-founder is Victor Faramond (LinkedIn profile).

According to the company, it is active in more than 160 countries. Its technology is used by 250+ leading wallets, websites, and applications to accept payments and defeat fraud.

Offering

MoonPay is a financial technology company that provides a platform for cryptocurrency purchases.

It offers a seamless way for users to buy cryptocurrencies using various payment methods such as credit or debit cards, bank transfers, and Apple Pay. MoonPay acts as an intermediary between users and cryptocurrency exchanges, facilitating the purchase and delivery of digital assets to the users’ wallets.

The platform aims to simplify the process of buying cryptocurrencies for both individuals and businesses. It provides a user-friendly interface and a secure infrastructure to ensure a smooth and safe transaction experience. MoonPay supports a wide range of cryptocurrencies, including popular ones like Bitcoin, Ethereum, and Litecoin, as well as many others.

By partnering with various exchanges and wallets, MoonPay enables users to complete their cryptocurrency purchases within minutes without the need to create multiple accounts or go through complex verification processes on different platforms. The service is available in numerous countries, making it accessible to users worldwide.

Customer Review

On Trustpilot, the company earned an “Excellent” trust level with a 4.2-star rating based on more than 81,000 reviews. This is impressive.

Hacking Problems

Through a Moonypay interface, Hackers gained access to the IOTA Network in 2020 and stole tokens worth $2.3 million US. The IOTA Foundation has not sought further cooperation with MoonPay since the hack.

The Crypto Payment Shooting Star

Experiencing rapid growth during the recent surge in cryptocurrency interest, MoonPay reported projected net revenues of $150 million in 2021. The company gained significant public attention when Paris Hilton discussed non-fungible tokens (NFTs) on The Tonight Show, mentioning MoonPay in January 2022.

As of January 2024, MoonPay boasts over 5 million customers and is valued at over $3.4 billion. In the 28 days leading up to January 23, 2024, its website attracted nearly 4.5 million visitors who spent an average of over 7 minutes on the site.

MoonPay‘s operations are spread across various legal entities in different jurisdictions. In the U.S., it functions as MoonPay USA LLC, complying with money transmitter or money service business regulations in most states. It’s registered in the UK, Ireland, Italy, and Liechtenstein in Europe as a virtual assets service provider via different legal entities. MoonPay Ltd in Seychelles and MoonPay Ireland are listed as European operators in their terms of service.

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Another online gambling scheme, BitStarz(www.bitstarz.com), is also using MoonPay to enable its users to deposit via credit/debit card and crypto. However, BitStarz does not have the authorization to offer its gambling services. It uses the Cyprus-based Friolion Ltd as its payment agent. Evidently, the latter is a merchant served by MoonPay.

Compliance Issues

MoonPay primarily serves high-risk industries, including online gambling and sports betting. Stake.com, a big client, operates under a Curacao license using cryptocurrencies.

Despite these registrations, MoonPay has been linked to processing payments for scams and unauthorized financial services, including dealings with unauthorized crypto exchanges and broker schemes. We found MoonPay as a facilitating payment processor at the unauthorized offshore broker schemes TradeTech Solutions and Oro Markets against regulators have issued warnings.

Conclusion

We have identified MoonPay several times already as facilitating payment processors for scams as we have its Estonian partner oobit (PR42 profile), and thus, we include MoonPay in our “Orange Compliance Light” list.

2 reviews

  1. 🙏 Please! Give me back my savings!

    I transferred to MOONPAY 3500 USDT to my bank account in Romania (EU) and have been waiting for over 2 days without receiving the funds. After contacting support team, I received no assistance or resolution, except for a recommendation to cancel the transfer. Although I complied with their advice and canceled the transaction, but I did not receive any notification regarding the change in the transfer status.

    Furthermore, after one more day, when I reached out to the support chat, I discovered that my ID was unsatisfactory to them. It is important to note that providing an ID was not mandatory, and they never requested it in the first place. I added the ID voluntarily, and now they are using it as a pretext to delay the transaction further.

    This situation gives the impression of fraudulent activity, deliberately prolonging the transfer and payout process. I am left uncertain about whether any payments will be made at all, as I have been unable to verify this service in good way.

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