• Press Releases
    • Submit a press release
    • Read All
  • Contact us
Advertise
Bitcoinist.com
No Result
View All Result
  • Bitcoin
    • News
    • Price
    • Businesses
    • Acceptance
    • Technology
    • Investment
    • Regulation
    • Reviews
    • All Bitcoin News
  • Altcoins
    • News
    • Price
    • Ethereum
    • Ripple
    • Litecoin
    • EOS
    • NAGA
    • All Altcoin News
  • Tech
    • Blockchain
    • Security
    • FinTech
    • Price
      • Bitcoin Price
      • Ethereum Price
      • Binance Coin Price
      • Litecoin Price
  • Industry
    • Industry News
    • Press Releases
  • How to
    • Buy gift cards/mobile Top Ups with Cryptos
    • What Is Bitcoin?
    • Best Bitcoin Wallet
    • Bitcoin vs Ethereum
    • Why Use Blockchain Technology?
    • Bitcoin Cash ABC vs. Bitcoin Cash SV
    • How to Buy Cryptocurrency
    • How to do Crypto Gambling
      • Crypto Casinos
        • Ethereum Casinos
        • Solana Casinos
        • LiteCoin Casinos
        • DogeCoin Casinos
        • Live Crypto Casinos
        • New Casinos
        • Instant Withdrawal Casinos
        • Cash App Casinos
        • No KYC Casinos
        • VPN Casinos
        • Offshore Casinos
          • Crypto Casinos IT
          • Crypto Casinos ES
            • All Guides
          • Crypto Casinos JP
          • Crypto Casinos SG
          • Crypto Casinos MY
          • Crypto Casinos KR
          • No GAMSTOP Casinos in UK
          • No Cruks Casinos NL
      • Crypto Betting
        • No ID sportsbooks
    • Play Crypto Games
      • Crypto Poker
      • Crypto Slots
      • Crypto Blackjack
      • Crypto Crash Gambling
        • Aviator Sites
      • Plinko
    • Bitcoin Mining
    • Best Bitcoin Brokers
    • Best Bitcoin Forex Brokers
    • How To Earn Bitcoin
    • What is Facebook Libra?
    • Ripple and XRP: The Complete Guide
  • Events
  • Play Games
Breaking News: BREAKING: Saylor's Strategy Misses S&P 500 Inclusion, Robinhood Takes Spotlight
  • Bitcoin
    • News
    • Price
    • Businesses
    • Acceptance
    • Technology
    • Investment
    • Regulation
    • Reviews
    • All Bitcoin News
  • Altcoins
    • News
    • Price
    • Ethereum
    • Ripple
    • Litecoin
    • EOS
    • NAGA
    • All Altcoin News
  • Tech
    • Blockchain
    • Security
    • FinTech
    • Price
      • Bitcoin Price
      • Ethereum Price
      • Binance Coin Price
      • Litecoin Price
  • Industry
    • Industry News
    • Press Releases
  • How to
    • Buy gift cards/mobile Top Ups with Cryptos
    • What Is Bitcoin?
    • Best Bitcoin Wallet
    • Bitcoin vs Ethereum
    • Why Use Blockchain Technology?
    • Bitcoin Cash ABC vs. Bitcoin Cash SV
    • How to Buy Cryptocurrency
    • How to do Crypto Gambling
      • Crypto Casinos
        • Ethereum Casinos
        • Solana Casinos
        • LiteCoin Casinos
        • DogeCoin Casinos
        • Live Crypto Casinos
        • New Casinos
        • Instant Withdrawal Casinos
        • Cash App Casinos
        • No KYC Casinos
        • VPN Casinos
        • Offshore Casinos
          • Crypto Casinos IT
          • Crypto Casinos ES
            • All Guides
          • Crypto Casinos JP
          • Crypto Casinos SG
          • Crypto Casinos MY
          • Crypto Casinos KR
          • No GAMSTOP Casinos in UK
          • No Cruks Casinos NL
      • Crypto Betting
        • No ID sportsbooks
    • Play Crypto Games
      • Crypto Poker
      • Crypto Slots
      • Crypto Blackjack
      • Crypto Crash Gambling
        • Aviator Sites
      • Plinko
    • Bitcoin Mining
    • Best Bitcoin Brokers
    • Best Bitcoin Forex Brokers
    • How To Earn Bitcoin
    • What is Facebook Libra?
    • Ripple and XRP: The Complete Guide
  • Events
  • Play Games
Bitcoinist.com
No Result
View All Result
Breaking News: BREAKING: Saylor's Strategy Misses S&P 500 Inclusion, Robinhood Takes Spotlight
Coinbase, Crypto

Coinbase Faces Backlash For Allegedly Delaying Recent Data Breach Disclosure

Rubmar Garcia
by Rubmar Garcia
3 months ago
·
Posted in Crypto News
Trusted Editorial content, reviewed by leading industry experts and seasoned editors. Ad Disclosure

Coinbase is facing backlash after a recent report claimed that the crypto exchange had learned about the recently disclosed data breach months before addressing it to the public, sparking a debate about transparency.

Related Reading: South Korea Sees First Institutional Crypto Sale Ahead Of Presidential Election – Details

Coinbase Allegedly Delayed Data Breach Disclosure

On Monday, Reuters reported that Coinbase has been aware of a customer data leak linked to the estimated $400 million data breach disclosed last month. The news media outlet claims that at least one part of the breach, disclosed on May 14, happened in January with an overseas contractor for the crypto exchange.

Six people familiar with the matter told Reuters that an India-based employee of the US outsourcing firm TaskUs was caught taking pictures of her work computer with her phone to sell it to hackers at the start of the year.

According to the report, multiple ex-employees allege that the suspected woman and an accomplice had “been feeding Coinbase customer information to hackers in return for bribes,” adding that the crypto exchange was immediately notified of the incident.

This resulted in a mass layoff of over 200 TaskUs employees, which caught the attention of Indian media outlets. In a statement to Reuters, Coinbase stated that the incident was recently discovered, affirming that it had “cut ties with the TaskUs personnel involved and other overseas agents, and tightened controls.”

However, they did not disclose the identity of the other foreign agents. Meanwhile, TaskUS stated they had fired two employees for illegally accessing information from an undisclosed client.

In the statement, the outsourcing company claims to have “immediately reported this activity to the client,” as they “believe these two individuals were recruited by a much broader, coordinated criminal campaign against this client that also impacted a number of other providers servicing this client.”

Investors Criticize Lack Of Transparency

As reported by Bitcoinist, Coinbase CEO Brian Armstrong revealed on May 14 that malicious actors bribed a handful of support contractors overseas to access the company’s internal tools, leading to the leak of names, email addresses, limited transaction records, and partial Social Security numbers of around 1% of the exchange’s users.

The hackers used the information to attempt to blackmail Coinbase, demanding a $20 million Bitcoin (BTC) ransom to return the sensitive data, which the crypto exchange refused to pay.

In the Securities and Exchange Commission (SEC) May filing, Coinbase affirmed that it was aware that contractors accessing the data “without business need were independently detected by the Company’s security monitoring in the previous months,” claiming that, after the blackmail attempt, they concluded “these prior instances of improper data access were part of a single campaign.”

Following the Reuters report, Coinbase was questioned about when it first became aware of the severity of the data breach. Crypto investors expressed their concerns about a potential lack of transparency, with some inquiring about the reasons for not disclosing the breach months ago.

Others criticized the exchange for using “cheap” contractors overseas instead of direct employees for sensitive data. “60 billion dollar company saves a few bucks on headcount while exposing home addresses for their richest customer base,” an X user stated.

Moreover, the exchange is facing legal scrutiny, with several class action lawsuits and a Department of Justice (DOJ) investigation. Notably, an investor filed a lawsuit on May 22 alleging that the company’s shareholders have suffered “significant losses and damages” due to a long list of “wrongful acts and omissions,” including the data breach incident.

Meanwhile, a May 27 lawsuit against TaskUs claims that the outsourcing company and Coinbase “failed to timely notify Plaintiff and other Class Members” despite being aware of the incident for months, noting that between January and May, “TaskUs disclosed in its Form 10-Ks that they were not aware of any material data breaches impacting their respective companies.”

Related Reading: Russia’s Banking Behemoth Bets On Bitcoin With New Bond Offering

Coinbase, bitcoin, BTC, btcusdt

Bitcoin's performance in the one-week chart. Source: BTCUSDT on TradingView
Featured Image from Unsplash.com, Chart from TradingView.com
Editorial Process for bitcoinist is centered on delivering thoroughly researched, accurate, and unbiased content. We uphold strict sourcing standards, and each page undergoes diligent review by our team of top technology experts and seasoned editors. This process ensures the integrity, relevance, and value of our content for our readers.
ShareTweetShareShare

Sign Up for Our Newsletter!

For updates and exclusive offers enter your email.

I consent to my submitted data being collected and stored.
Rubmar Garcia

Rubmar Garcia

Follow

Rubmar is a crypto enthusiast who likes learning and improving constantly. She enjoys reporting on the latest news and developments in the crypto industry. Rubmar also enjoys scrapbooking, crafting, simulation games, and watching football.

Full Profile

Related Posts

Crypto

Crypto Boom Soon? Major Banks Predict At Least 2 Rate Cuts After Weak Labor Data

9 hours ago
Trump Media

Trump Media Invest $105M In CRO Following Crypto.Com Treasury Agreement

10 hours ago
MARA Bitcoin holdings near $6b Bitcoin Hyper gains

MARA’s Bitcoin Treasury Nears $6B After Mining 705 $BTC in August, Fueling Bitcoin Hyper’s $14M Presale

12 hours ago
SOL Strategies to List on Nasdaq: Solana Outlook and Why You Can’t Miss $SNORT

SOL Strategies to List on Nasdaq: Solana Outlook and Why You Can’t Miss $SNORT

12 hours ago
XRP

XRP In The Skies: Air China May Let Millions Pay With Crypto

15 hours ago
Best Altcoins to Buy as Ethereum Outflows Signal Renewed Accumulation

Best Altcoins to Buy as Ethereum Outflows Signal Renewed Accumulation

14 hours ago

Premium Sponsors

Press Releases

  • miner

    XRP price battles for key support levels, with holders...

    4 hours ago
  • miner

    Global Investors Tap BAY Miner App for BTC and XRP Monthly...

    4 hours ago
  • Cloud Mining

    From Holding to Profit: How XRP Earns $27,000 Daily from...

    8 hours ago
  • minwer

    XRP Holders Can Earn $10,000 a Day Through COME...

    1 day ago
  • BTC prices hit a two-week high, and holders flocked to GMO...

    1 day ago

Bitcoin news portal providing breaking news, guides, price analysis about decentralized digital money & blockchain technology.

Bitcoin

  • News
  • Price
  • Businesses
  • Acceptance
  • Technology
  • Investment
  • Regulation
  • Reviews

Altcoins

  • News
  • Price
  • Ethereum
  • Ripple
  • Litecoin
  • EOS

Categories

  • Blockchain
  • Security
  • FinTech
  • Technology
  • Trending
  • Breaking News
  • Press Releases
  • How to

About Us

  • Advertise
  • Contact us
  • Editorial Policy
  • Privacy Policy
© 2025 Bitcoinist.com. All Rights Reserved.
  • Bitcoin
    • News
    • Price
    • Businesses
    • Acceptance
    • Technology
    • Investment
    • Regulation
    • Reviews
    • All Bitcoin News
  • Altcoins
    • News
    • Price
    • Ethereum
    • Ripple
    • Litecoin
    • EOS
    • NAGA
    • All Altcoin News
  • Tech
    • Blockchain
    • Security
    • FinTech
    • Price
      • Bitcoin Price
      • Ethereum Price
      • Binance Coin Price
      • Litecoin Price
  • Industry
    • Industry News
    • Press Releases
  • How to
    • Buy gift cards/mobile Top Ups with Cryptos
    • What Is Bitcoin?
    • Best Bitcoin Wallet
    • Bitcoin vs Ethereum
    • Why Use Blockchain Technology?
    • Bitcoin Cash ABC vs. Bitcoin Cash SV
    • How to Buy Cryptocurrency
    • How to do Crypto Gambling
      • Crypto Casinos
      • Crypto Betting
    • Play Crypto Games
      • Crypto Poker
      • Crypto Slots
      • Crypto Blackjack
      • Crypto Crash Gambling
      • Plinko
    • Bitcoin Mining
    • Best Bitcoin Brokers
    • Best Bitcoin Forex Brokers
    • How To Earn Bitcoin
    • What is Facebook Libra?
    • Ripple and XRP: The Complete Guide
  • Events
  • Play Games
Advertise

© 2025 Bitcoinist. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.