Coinbase Faces Major Data Breach Amidst Ransom Threat

Coinbase, a leading US cryptocurrency exchange, suffered a data breach when criminals accessed personal information of its customers. They demanded a $20 million ransom to avoid public release. Instead, Coinbase offered a bounty for capturing the culprits and pledged reimbursement to affected users.

Coinbase, the largest cryptocurrency exchange in the US, confirmed a data breach where criminals accessed sensitive consumer data, demanding a $20 million ransom.

CEO Brian Armstrong disclosed that bribed overseas customer service agents provided access to data such as names and social security numbers, enabling sophisticated social engineering attacks.

The company stated these incidents might cost up to $400 million in customer reimbursements and had pledges to strengthen its fraud defenses, announcing a $20 million bounty for information leading to the perpetrators.

(With inputs from agencies.)