India arrests former Coinbase support staffer over data breach; Armstrong confirms

Indian police in Hyderabad arrested a former Coinbase customer support employee on Dec. 29 in connection with an internal data breach disclosed by the exchange in May 2024, Coinbase CEO Brian Armstrong confirmed, BlockBeats reports. The investigation traced the breach to December 2023, finding that criminals bribed overseas support staff to access internal systems and steal sensitive data on 69,461 users, including names, addresses, phone numbers, emails and government-issued ID documents. Coinbase said attackers demanded $20 million; the company refused and launched a $20 million bounty program to help capture those involved. In its Q2 earnings, Coinbase disclosed $307 million in related expenses for user compensation, legal fees and security upgrades; the company faces a shareholder class action alleging delayed disclosure and investor misrepresentation, and said it continues working with international law enforcement.