Coinbase has just announced a major security flaw that has exhibited personal data of nearly 70,000 customers. This crypto attack occurred on December 26, 2024. It was however discovered in May 2025. What cause a shock wave within the cryptosphere! Above all, this raises many questions about the safety of crypto exchanges.
In short
- Coinbase has undergone an internal flaw, exhibiting personal data of nearly 70,000 users.
- Cybercriminals tried to extort $ 20 million, but Coinbase refused to pay.
Coinbase victim of an internal flaw and an attempted extortion in the crypto sphere
The scandal broke out after a group of cybercriminals has recruited Coinbase customer service agents to illegally access personal data of 69,461 users. These data include:
- names;
- addresses;
- telephone numbers;
- identity documents;
- transactions history;
- partially masked banking information.
According to documents Deposited with the Maine Attorney General, the crypto flaw (also described as “internal reprehensible act”) went unnoticed for almost six months. The pirates then tried to extort a ransom of $ 20 million, refused by Coinbase.
The financial consequences are heavy. L'Exchange Crypto In fact anticipates repair and reimbursement costs of up to $ 400 million. Coinbase even undertakes to reimburse customers who have undergone losses due to social engineering attacks in connection with this violation.
Good to know:
This massive hacking case caused an immediate fall of 7 % of the Coinbase action course. This marks the distrust of crypto investors towards the security of cryptocurrency exchange platforms.
A major alert for the security and confidence of crypto investors
Within the crypto community, this violation raises a crucial debate on:
- KYC data management;
- protection of sensitive information.
Cryptography experts alert to physical and financial risks linked to the leak of personal data. The fact is that the latter can transform holders into extortion and flight targets.
In this sense, Coinbase recommends its users to activate two factors (2FA) and the white withdrawal list. The goal: to strengthen the safety of crypto wallets.
In any case, this new scandal highlights the urgent need to improve cybersecurity in the crypto sector. Especially since institutional and general public adoption is accelerating!
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