A former customer service representative for the biggest US cryptocurrency exchange was arrested in India, according to Coinbase Global Inc. CEO Brian Armstrong, months after hackers bought off customer care agents to obtain customer data.
Security Breach and Ransom Demand
In one of the most well-known security breaches of a cryptocurrency trading platform, the business claimed in May that hackers bribed contractors or workers outside the US to steal critical user data and wanted a $20 million ransom. Coinbase, a San Francisco-based company, said at the time that fixing the issue might cost up to $400 million.
Arrest and Legal Action
In addition to confirming the arrest in India, a Coinbase representative stated that the news comes after the exchange recently collaborated with the Brooklyn District Attorney’s Office, where the prosecution filed charges against a Brooklyn man who was allegedly involved in “a long-running impersonation scheme targeting Coinbase customers.”
Stock Market Reaction
On Friday, Coinbase‘s stock dropped almost 1.2% to $236.79. This year, the stock has dropped by about 4.6%.
