Allegedly Coinbase prevented 1,000 customers From Sending Funds to the Hackers

[bitcoinst]

Crypto exchange Coinbase has said that it prevented little over 1,100 customers from sending bitcoin to Twitter hackers who hijacked high-profile accounts to advertise a bitcoin scam last week.

If Coinbase didn't take the step, these customers would have collectively sent 30.4 bitcoin (currently worth about $278,000) to hackers, the exchange's chief information security officer, Philip Martin, told Forbes. Notably, this amount is more than twice the actual amount ($121,000) that hackers collected via victims.

https://www.theblockcrypto.com/post/72200/coinbase-says-it-prevented-over-1000-customers-from-sending-280000-worth-of-bitcoin-to-twitter-hackers

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Excellent operational work. If all exchanges had taken such measures in time, the hackers would probably have received significantly less.
What do you think?

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[crzy]

Big exchanges are freezing accounts if they saw a suspicious transactions, its good that coinbase already learned the lesson to tighten their security. 1,000 account is a huge number even though the value is not that big at least coinbase prevented it. I’m also hoping for more exchanges to improve their security system and to monitor all the withdrawals of the users.

[Yaunfitda]

Do we need to give Coinbase a pat in the back here? They take measures to prevent "1,100" customers, supposedly,however, where are Coinbase support when you needed them? Specially the downtime pattern we've seen in the past from them, when the price of bitcoin suddenly spike?  .

[Mahanton]

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Excellent operational work. If all exchanges had taken such measures in time, the hackers would probably have received significantly less.
What do you think?

Nicely done by Coinbase this time and it is somewhat lucky for them to know the news and do make immediate action before the damage had been done.Centralized exchangers can do stuffs like
these since they are the ones who do had access to those buttons and operations of their platform.If they do alter out and disable something then theres nothing you can do but this time
its for users own good and not for other purposes.I appreciate that much that they do care out into their users and able to stop on the possible sent out of funds on that scam address that
do popout in that Twitter scamming scheme.

[AjithBtc]

Big exchange wallets will be highly secure, as we see in Hollywood movies it can't be easily breached with a computer and the Hero continuously typing something on the keyboard. I don't say hackers doesn't have the ability, but the exchanges will always have its level of security. This is what we've encountered with coinbase securing the funds of its users. At times the exchanges itself tries to manipulate with some news rolling out making some large volume fund move terming it as hack.

[chmod755]

Sometimes having your own keys can be a risk: when you don't have a clear mind (drunk/high/enthusiastic) and/or are about to make a big mistake like that.

Generally having your own keys is better, but storing some coins on centralized exchanges isn't a terrible idea if you enable 2FA and whitelisting and such.

[carlfebz2]

Big exchange wallets will be highly secure, as we see in Hollywood movies it can't be easily breached with a computer and the Hero continuously typing something on the keyboard. I don't say hackers doesn't have the ability, but the exchanges will always have its level of security. This is what we've encountered with coinbase securing the funds of its users. At times the exchanges itself tries to manipulate with some news rolling out making some large volume fund move terming it as hack.

If we do go back and try to check out, Coinbase didnt really experience any breaches or hack which do really indicates that they do really had that strong security but

the fact that nothing in this world is unhackable this is why we cant still fully rely on it and to think that when in talks of exchange wallets then you dont possess the keys and we know that

No keys = Not your coins and this had been said for countless times.Basing of the on the situation that they'd stop on possible transfer of funds then its a good move from them.

[hatshepsut93]

Do we need to give Coinbase a pat in the back here? They take measures to prevent "1,100" customers, supposedly,however, where are Coinbase support when you needed them? Specially the downtime pattern we've seen in the past from them, when the price of bitcoin suddenly spike?  .

Why not? They deserve a little praise for quick reaction. But people should clearly understand that using exchanges as your wallet is a net negative, because you take risks of getting your account hacked or frozen, the exchange itself can get hacked, there's KYC and so on. And there's too little positive sides, in this case they only prevented people from sending coins because it was very well known scam. They can't do anything against smaller or smarter scams, so it might create a false sense of security.

[DaveF]

Why not? They deserve a little praise for quick reaction. But people should clearly understand that using exchanges as your wallet is a net negative, because you take risks of getting your account hacked or frozen, the exchange itself can get hacked, there's KYC and so on. And there's too little positive sides, in this case they only prevented people from sending coins because it was very well known scam. They can't do anything against smaller or smarter scams, so it might create a false sense of security.

I wonder what other places did, Gemini, Kraken, etc.
It's nice that Coinbase did that, but you are correct in that it's somewhat false security.
If it was my exchange I would have deducted the amount from their account but not actually send the funds, then add them back with a "don't do this again" note.

But that's just me.

-Dave

[Alobo Realer]

Let's forget the past were Coinbase acted less in response. Now they show they advanced and had tightened their security and proves they can handle more of such situations. Our earnest prayer and hope they don't go back same old lane in the long run

It baffles me to know many people are fell for this obvious scam, imagine the amount saved by Coinbase. Its high time everyone wise up

[JeromeTash]

Sometimes having your own keys can be a risk: when you don't have a clear mind (drunk/high/enthusiastic) and/or are about to make a big mistake like that.
Generally having your own keys is better, but storing some coins on centralized exchanges isn't a terrible idea if you enable 2FA and whitelisting and such.

Until they decide to block your account or avoid you from cashing out, that's when you realized that having someone take control of your private keys is the shittiest idea ever in crypto.

How does one even think of sending out their Bitcoins to a random address just because they promised to double the coins in 30 minutes. People should simply stop being dumb and greedy, and they won't lose even a sign coin to such scams even if they personally control their private keys.

[arwin100]

Crypto exchange Coinbase has said that it prevented little over 1,100 customers from sending bitcoin to Twitter hackers who hijacked high-profile accounts to advertise a bitcoin scam last week.

If Coinbase didn't take the step, these customers would have collectively sent 30.4 bitcoin (currently worth about $278,000) to hackers, the exchange's chief information security officer, Philip Martin, told Forbes. Notably, this amount is more than twice the actual amount ($121,000) that hackers collected via victims.

https://www.theblockcrypto.com/post/72200/coinbase-says-it-prevented-over-1000-customers-from-sending-280000-worth-of-bitcoin-to-twitter-hackers

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Excellent operational work. If all exchanges had taken such measures in time, the hackers would probably have received significantly less.
What do you think?

This is good action by them and by taking care of this issue for sure many will see them reliable. Those hacking issue is seriously needed to take care of and if the exchangers will do the same for sure there's no place for hacker to do this attempt since their money stolen will be hold for this bad activities.

Constant reminder to all never trust anyone especially offers you a good profit for less efforts.

[thesmallgod]

One of the benefit of using centralized exchange. I'm just imagining how high the amount the hacker would have successfully gotten if they had not done this. I believe other centralized exchange can also do this to protect their traders just the way binance have implemented functions that prevent traders from making trading mistakes. E.g when you are trying to buy coin at the price above the market price

[Jating]

Do we need to give Coinbase a pat in the back here? They take measures to prevent "1,100" customers, supposedly,however, where are Coinbase support when you needed them? Specially the downtime pattern we've seen in the past from them, when the price of bitcoin suddenly spike?  .

Why not? They deserve a little praise for quick reaction. But people should clearly understand that using exchanges as your wallet is a net negative, because you take risks of getting your account hacked or frozen, the exchange itself can get hacked, there's KYC and so on. And there's too little positive sides, in this case they only prevented people from sending coins because it was very well known scam. They can't do anything against smaller or smarter scams, so it might create a false sense of security.

Yes, at least this time Coinbase didn't f**k up and on the contrary responded very quick to save their customers from depositing their hard earn bitcoin to the scammers. So I would say give them what they deserve.

On the other issues, they have taken the heat from the community with their downtimes and for sure if that happens again then it warrant another backlash from us.

[serjent05]

Excellent operational work. If all exchanges had taken such measures in time, the hackers would probably have received significantly less.
What do you think?

Just this time, coinbase had performed its duty to safeguard the funds of its client.  Honestly it is a good job for them in preventing their 1000 clients from losing money on that recent scam attempt.  Just for this moment, even though we experienced bad Customer Service from them, we should at least be appreciative to the fast action of blacklisting the scammer address to prevent further damage to their customers.

[philipma1957]

Crypto exchange Coinbase has said that it prevented little over 1,100 customers from sending bitcoin to Twitter hackers who hijacked high-profile accounts to advertise a bitcoin scam last week.

If Coinbase didn't take the step, these customers would have collectively sent 30.4 bitcoin (currently worth about $278,000) to hackers, the exchange's chief information security officer, Philip Martin, told Forbes. Notably, this amount is more than twice the actual amount ($121,000) that hackers collected via victims.

https://www.theblockcrypto.com/post/72200/coinbase-says-it-prevented-over-1000-customers-from-sending-280000-worth-of-bitcoin-to-twitter-hackers

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Excellent operational work. If all exchanges had taken such measures in time, the hackers would probably have received significantly less.
What do you think?

I think that you found out a nice piece of info worth reading.

In this case Coinbase was able to help people not be scammed.
But the ability to freeze funds means Coinbase may freeze a transaction you need to go through with.

So Your info points out that a BTC holder needs multiple wallets and that  while big companies can correctly hold their coins it means they can incorrectly hold the coins.

Thanks for the thread.

[Sadlife]

I guess we do need regulations, because if we let things happen. Everything will fall apart for bitcoin and adoption would not be possible.
Regulations and restrictions for criminals are needed to not do things freely and to avoid millions of valuable Crypto being loss.

[TimeTeller]

Excellent operational work. If all exchanges had taken such measures in time, the hackers would probably have received significantly less.
What do you think?

Just this time, coinbase had performed its duty to safeguard the funds of its client.  Honestly it is a good job for them in preventing their 1000 clients from losing money on that recent scam attempt.  Just for this moment, even though we experienced bad Customer Service from them, we should at least be appreciative to the fast action of blacklisting the scammer address to prevent further damage to their customers.

At least we are hearing good news coming from Coinbase, not all negative feedback.
If they did prevent that situation from happening, these customers will be grateful to Coinbase.
There will be more hacking events in the future, but hopefully users should know what to do the next time they encounter it.

[Assface16678]

Good thing that they already focus about this thing like on their security because from the previous weeks there are a lot of unexpected and suspicious transactions and also they make sure this to avoid getting trouble in their accounts and system too and also there are a lot of people saved their money and funds because of this, now the coinbase will surely be gained a lot of good reputation came from their users. But still, they need to find out what will happen on this is there is any problem with their system too to make sure the integrity and avoid getting data breaches of course we need to find out this immediately so the users must be aware of that thing.

[Darker45]

That was a great decision on the part of Coinbase in the end, but only insofar as this particular case is concerned. This is a good work but I have reservations telling them to keep it up.

If we take a step back and look at the larger picture with Coinbase halting thousands of customers from sending BTC to an address or addresses they deem shady, that might pose a larger problem.

The result was good in this case but, in the first place, it wasn't the responsibility of Coinbase. The customers themselves should be the ones to be mindful of their funds and not Coinbase, or else they better let Coinbase take over.