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Ex-Coinbase Support Agent Arrested in Hyderabad in Insider Data-Theft Case

The arrest ties to a 2024 breach that exposed personal data for roughly 69,500 customers.

Overview

  • Coinbase CEO Brian Armstrong said on December 26 that Hyderabad Police arrested a former customer-service agent, adding that further arrests are expected.
  • Coinbase previously disclosed that bribed overseas support staff copied customer records and that attackers later tried to extort $20 million, which the company refused to pay.
  • The stolen data included names, dates of birth, contact details, and in some cases KYC documents, while wallets, private keys, passwords, and 2FA codes were not compromised.
  • Coinbase identified outsourcing vendor TaskUs as the channel used in the breach, and TaskUs said two employees were involved and that it shut the affected 226-person department.
  • Coinbase and prosecutors also pursued a separate case in Brooklyn against an alleged impersonation scammer accused of stealing about $16 million, which the company says is unrelated to the insider-assisted breach.