🤔 Coinbase data leak: Life-threatening risk?
On May 20, Michael Arrington (founder of TechCrunch) warned that the data leak at Coinbase could be life-threatening, as sensitive information such as home addresses and user account balances were exposed. He called for criminal prosecution of the company's leadership for failing to sufficiently protect data.
Previously, a hacker bribed a customer service employee overseas to obtain user information and demanded a ransom of 20 million USD in Bitcoin. Coinbase refused to pay and offered a reward of an equivalent amount for anyone who helps catch the criminal.
The U.S. Department of Justice has opened an investigation. Former Coinbase CTO, Balaji Srinivasan, criticized the centralized KYC system as the root cause leading to leakage risks.
