Coinbase has disclosed a significant data breach impacting 70,000 users due to compromised customer support tools used in India. The breach, attributed to unauthorized access by a third-party vendor TaskUs, resulted in a potential financial loss of up to $400 million and the company’s decision to sever ties with TaskUs. Coinbase’s delay in publicly disclosing the breach has raised concerns about data security protocols and market stability. 70,000 customers were affected by unauthorized access starting in January 2025. The company’s initial response included a $20 million reward for leads who provide information about the attack. As customer trust is impacted and regulatory scrutiny intensifies, Coinbase faces potential investor withdrawals and stricter compliance requirements.