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Hyderabad Police Arrest Ex-Coinbase Support Agent in 2024 Insider Data Theft Probe

Coinbase expects additional arrests as cross-border investigations continue.

Overview

  • CEO Brian Armstrong said on Dec. 26 that Hyderabad police detained a former customer service agent and signaled more arrests are likely.
  • Coinbase disclosed in May 2025 that bribed overseas support agents enabled the December 2024 theft of customer records, affecting about 69,461 people.
  • The breach, routed through outsourcing vendor TaskUs, involved a small number of employees; TaskUs says two individuals were implicated and the affected department was shut.
  • Exposed data included names, addresses, phone numbers, emails, images of government IDs, masked SSNs and some bank/account details, but not 2FA codes, private keys or direct wallet access.
  • Attackers demanded a $20 million ransom that Coinbase refused; the company instead announced a $20 million reward fund, and a separate Brooklyn impersonation case was charged but is not linked to the insider scheme.