Kraken and Backed Launch Tokenized US Stock Trading Platform on Solana, Challenging Traditional Brokerage Firms

Coinbase Internal Leak: Half a Year of Stealing KYC Data from 60,000 Users

According to documents submitted to the Maine Attorney General's Office, Coinbase experienced a user data breach on December 26, 2024, but only discovered the anomaly on May 11, 2025, and issued a written notification on May 30.

The data included sensitive KYC information such as user names, addresses, and email addresses, affecting 69,461 users, with 217 from Maine.

Coinbase stated that hackers obtained customer data by bribing multiple customer service representatives and contractors in India, and the involved personnel have been terminated. While the company emphasized that passwords, private keys, and user funds were not compromised, the leaked data is still sufficient to pose significant risks of fraud and identity theft.

(Coinbase's Turbulent Period: Potential $400 Million in User Data Leak Compensation, SEC Investigates Potential User Number Inflation)

Cybersecurity Experts Slam Coinbase: Failure to Report?

Facing Coinbase's claim of a single incident in late December, cybersecurity analyst @tayvano_ publicly challenged Coinbase's statement by sharing login records of a high-value user. The attached image shows multiple unauthorized logins between February 7-10, 2025, questioning how the monitoring team could have missed such incidents.

He criticized Coinbase's statement as a public relations joke, arguing that the company's internal management and warning notification capabilities are poor. He believes this might be a "long-term internal infiltration" rather than a single event. Other users provided additional evidence suggesting phishing messages and scam calls as early as mid-2024, indicating the leak might have occurred earlier and potentially spread over months.

(Scam Hotspot? ZachXBT Exposes Coinbase's Slow Response, Allowing Users to Lose Over $60 Million)

In response to external criticism, Coinbase announced plans to establish a new customer service center in the United States and enhance cybersecurity protection. They will also provide affected users with a free one-year identity protection, credit monitoring, and insurance service managed by IDX, though this has not quelled user anger.

Department of Justice and SEC Intervene, Coinbase Faces Challenges

Due to the extensive personal data leak and internal employee disclosure, the U.S. Department of Justice has initiated an investigation through its Washington criminal division. Coinbase CEO Brian Armstrong has confirmed this and emphasized that the company proactively requested an official investigation.

Simultaneously, the SEC is conducting another investigation into whether Coinbase inflated user numbers before its 2021 IPO.

This incident not only reveals deep management vulnerabilities within Coinbase but also exposes the fragility of the entire crypto industry facing internal and external challenges. In an era where trust is a critical asset for the crypto industry, how Coinbase will rise from this storm will be its greatest challenge.

(Artist Suffers Severe Losses Due to Coinbase Data Leak: How Social Engineering Attacks Steal Your Money)