Frederic Hubin’s Accusations Against CoinsPaid In a LinkedIn post, former CoinsPaid executive Frederic Hubin made serious allegations against the Estonian-based crypto payment processor CoinsPaid. Directed at the Estonian Financial Intelligence Unit (FIU), Hubin accused the company of facilitating fraudulent activities and being involved in illegal online gambling operations. These claims, coming from an insider who served on the management board from 2020 to 2023, have raised significant concerns about CoinsPaid’s practices and affiliations.
Key Allegations
- Fraudulent Practices
- Hubin alleged that CoinsPaid facilitated payments for illicit activities, urging the Estonian FIU to investigate.
- Connections to Online Gambling
- Highlighted the ties between CoinsPaid and N1 Interactive Limited, fined €12.6 million by Dutch authorities in 2023 for illegal gambling activities.
- Affiliations with Key Entities
- CoinsPaid’s links to Austrian-registered A.R. Merkeleon GmbH and the SoftSwiss group, led by Ivan Montik and Pavel Kashuba, were specifically noted.
- Corporate Governance Concerns
- Hubin questioned the involvement of the President of CCI France-Estonie in CoinsPaid’s governance.
Timeline of Events
| Year | Event | Details |
| 2020 | Hubin joins CoinsPaid | Serves on the management board |
| 2023 | N1 Interactive fined | Dutch regulator imposes €12.6 million penalty |
| 2024 | Hubin’s LinkedIn post | Accuses CoinsPaid of fraudulent activities |
Connections Within the Ecosystem
CoinsPaid and SoftSwiss Group
Hubin’s allegations extend to the connections between CoinsPaid and SoftSwiss:
- A.R. Merkeleon GmbH: CoinsPaid’s official owner is Alexander Horst Riedinger, an Austrian entrepreneur.
- SoftSwiss Group: Led by Ivan Montik and Pavel Kashuba, both linked to crypto and gambling activities.
Law Firm Revera’s Role
- Helen Mourashko, a partner at Revera law firm and spouse of SoftSwiss executive Pavel Kashuba, reportedly handles N1 Interactive’s legal affairs.
- Kashuba served as CFO of SoftSwiss until 2023, according to his CrunchBase profile.
Call for Regulatory Action
Hubin’s accusations underline the urgent need for regulatory scrutiny. The Estonian FIU is urged to:
- Investigate CoinsPaid’s role in facilitating illegal gambling payments.
- Examine the corporate governance structures, particularly the involvement of CCI France-Estonie.
Stakeholder Responsibilities
Industry stakeholders must evaluate the compliance mechanisms within CoinsPaid and its affiliated entities to ensure adherence to financial and regulatory standards.