The artist lost about $ 2 million due to leakage in Coinbase

Former art master from Los Angeles Ed Suman, who worked on well-known sculptures, in particular, a series of Balloon Dog Jeff Kuns, lost his pension savings in cryptocurrencies in the amount of more than $ 2 million against the backdrop of Coinbase data leakage. This was told in Bloomberg.

Suman began to invest in cryptocurrencies since 2017. For a few years, he had accumulated retirement: 17.5 BTC and 225 ETH – $ 2.4 million at the time of writing the article.

As a result of fraud related to the leakage of data from Coinbase crypto -tanks, which the company officially reported last week, it lost its savings.

According to Coinbase, hackers began to access the personal data of customers back in January. They bribed support employees in India to get names, addresses, account balance and transactions. Having such information, the attackers launched socio-engineer attacks, as in the case of Suman.

According to the publication, on March 8, the man received a text message, which was supposedly from Coinbase, with a warning about the suspicious entrance to the account. After an answer to the message, supposedly a representative of the security service named Brett Miller called him.

The media noted that the fraudster knew that Suman was keeping his cryptocurrencies on the hardware wallet Trezor Model One – a cold storage device. The attacker convinced him that hackers could still access the wallet – even without connecting to the Internet – and suggested “eliminate the threat.” To do this, Suman had to introduce SID-Fraz-a special access code-on the site that turned out to be fake.

Nine days later, scammers again called under the guise of technical support and repeated the manipulation. After that, all the assets disappeared.

“The attack becomes much more effective when the attacker owns personal information: balance sheets, account history. If you have personal data, this is a completely different level of fraud. They turn to you with information that looks quite real, ”said John Wingate, Director General of Bank Social, specializing in safety in the field of digital assets.

In a statement on the incident, Coinbase promised to reimburse the losses of customers who became victims of fraud. However, Ed Suman says that he did not receive any confirmation that his business would be compensated.

“Coinbase was supposed to introduce awareness measures for fraud months ago. The most effective thing they could do is send all customers a letter of warning about fraudsters who pretend to be supported. They could prevent a huge amount of thefts. In my opinion, their inaction was egregious – and in my case it had catastrophic consequences, ”he said.

Representatives of Coinbase refused to comment on Suman’s words. The company said that less than 1% of its monthly active users suffered as a result of leakage.

Among other victims is the managing partner of the venture company Sequoia Capital and a member of the so -called “PayPal mafia” (which includes, in particular, Peter Til and Elon Musk) Rolof Bota. So far there is no evidence that his account was hacked.

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Source: Cryptocurrency

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