Coinbase Doesn’t Pay Up — They Pay Back
So here’s the plot twist: Coinbase just said no to a $20M ransom and turned the threat into a $20M bounty.
The breach didn’t come from some elite hacker. Nope — it was rogue support agents overseas who took bribes to leak user data. Real inside job. The compromised info? Names, phone numbers, emails, and in some cases, ID photos. Passwords, private keys, and money? Untouched.
Even though less than 1% of users were affected, the damage was real. The scammers used the stolen data to try and extort Coinbase for $20 million in Bitcoin. Coinbase clapped back hard.
From Victim to Vigilante: The $20M Flip
Instead of caving, It fired the insiders, went public with everything, and is now offering a $20M bounty to anyone who helps track and convict the extortionists. CEO Brian Armstrong confirmed no funds were moved and It Prime accounts were never in danger.
The company also pledged to reimburse users scammed via phishing and is now making major security upgrades — like launching a U.S.-based support center and tightening internal access controls.
They’re also pushing users to be on high alert. If someone says they’re from Coinbase and asks for your password, seed phrase, or crypto — it’s a scam. Always.
In a space where silence is the norm, Coinbase’s transparency and counterstrike are rare — and refreshing.
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