Coinbase CEO Brian Armstrong addressed a recent cyberattack that compromised customer data, leading to a $20 million Bitcoin ransom demand. The attack reportedly involved insider collusion as a group of overseas customer support agents were bribed by attackers and exploited their access privileges to obtain sensitive personal details like names, dates of birth, and addresses. 💰
Armstrong directly responded to the cybercriminals’ demands, stating that Coinbase would not pay ransom and instead offered a $20 million reward for information leading to the arrest and conviction of those responsible. The company also acknowledged the breach as unacceptable and is working to protect user data by moving customer support operations and implementing stronger security measures.
Coinbase reported that less than 1% of its monthly active users were impacted, although customers who may have been deceived into sending funds are being reimbursed according to the company’s website.