A Coinbase user lost 110 cbBTC (equivalent to $11.5 million) after falling victim to scammers using social engineering tactics. The incident occurred on the Base network — the second layer of Ethereum supported by Coinbase. Blockchain analyst ZachXBT reported the theft on January 31, linking it to a series of similar attacks on Coinbase users.
How the Scammers Moved the Funds
According to ZachXBT, the stolen cbBTC were quickly converted across several platforms, including bridges and instant exchangers. After conversion, the hackers consolidated the stolen assets with other funds on Ethereum, making tracking and recovery significantly more challenging.
The expert noted that such schemes have already cost Coinbase users at least $150 million over the past year.
"Coinbase has a serious fraud problem. I've identified numerous recent thefts on the platform. In the past year alone, confirmed cases have totaled $150 million, though the real figure is likely much higher," wrote ZachXBT.
Rising Fraud Attacks and Coinbase's Inaction
Coinbase has yet to comment on the situation, but incidents involving fake support services have become more frequent. Criminals are using phishing emails, fake phone calls, and other methods to trick users into divulging their account credentials. Similar schemes have been reported before; for example, in October 2024, scammers posing as support stole $6.5 million.
"I receive weekly messages from Coinbase users losing millions due to targeted social engineering attacks. The exchange doesn’t help the victims, unlike other major platforms. Its management doesn’t grasp the real threats," stated ZachXBT.
Coinbase Commerce Hack and the $15.9M Theft
In April 2024, hackers stole $15.9 million from a Coinbase Commerce smart contract on the Polygon network. The funds were swiftly transferred into Ethereum and distributed across several addresses. Over a period of 16 hours, 1,700 USDC transactions were processed through the contract.
The stolen funds were then converted into ETH and distributed to wallets:
- 0xd467e8134314d66d685bd3e6da8901b8683028ae
- 0x42ab2e5b91fcdba8aa00b710ad01a249d5082445
- 0xa3e083422ee587ff20c91d814baade85856861b6
Later, a scammer operating under the nickname "tezedasads12" began bragging about the theft on Telegram and conducted transactions of 1 DAI to confirm ownership of one of the wallets.
He also claimed to own the Instagram account "Excite," where he posted photos of expensive watches. OSINT analysis indicates that the suspect may be located in Denmark.
Security Issues and Trust in Coinbase
Amid the ongoing attacks, the exchange faces criticism for its inadequate customer protection measures. As the largest cryptocurrency platform in the United States, Coinbase is under mounting pressure from users and the community to strengthen its security protocols.
If the situation does not improve, it could erode trust in centralized exchanges and drive interest in alternative methods for storing crypto assets.
Related:
- Forbes Names the Most Reliable Crypto Exchanges of 2025
- Blockchain Detective ZachXBT Helps Recover $20M for the U.S. but Receives No Reward
- ZachXBT: Hacker Stole $500K via Phishing Attacks on X
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