Coinbase Data Breach

Last Updated on May 16, 2025

Coinbase Security Incident: What Happened?

Cryptocurrency exchange Coinbase reportedly received an email in May from an unidentified threat actor claiming they had breached the company’s cybersecurity and gained unauthorized access to certain customer data and internal documentation. An internal investigation revealed that the threat actor had threatened to sell the stolen data and demanded a ransom payment of $20 million.

The company confirmed the breach in a filing with the U.S. Securities and Exchange Commission and a May 15 blog post, stating that the incident affected less than 1% of its monthly transacting users. The company’s statement said that the data accessed included customer names and addresses, the last four digits of Social Security numbers, and emails. Additionally, some users’ masked bank account numbers and bank account identifiers, images from government-issued ID like driver’s licenses and passports, account data, and limited corporate data were also reportedly compromised. However, no passwords or private keys were exposed.

Coinbase said it chose not to pay the ransom and is instead cooperating with authorities to pursue the criminals. The company is offering a $20 million reward for information leading to the arrest and conviction of those responsible for the incident. A company spokesperson told ClassAction.org that notices are being sent to affected users.

What Happens Now

If your information was exposed in the Coinbase data breach, you may be able to take legal action via mass arbitration, which is different from a class action lawsuit.

A group of attorneys is gathering people to sign up for legal action. If enough people decide to participate, the case could proceed in the form of mass arbitration.

The attorneys are helping to handle the case, and they will receive a fee if there is a recovery. Otherwise, they will not be paid.

Those who sign up and take action could be entitled to compensation from Coinbase for violations of state consumer protection and privacy laws.

Got a notice about the Coinbase data breach? Fill out this quick, secure form to join others taking action.