ZachXBT Slams Coinbase for Account Lockouts, Undisclosed Breach Leading to User Losses

Crypto investigator ZachXBT has publicly criticized Coinbase, calling out the favored crypto change for repeated account lockouts and an undisclosed information breach, which he claims led to thefts.

Within the newest tweet, the on-chain sleuth expressed his dissatisfaction and acknowledged that Coinbase had locked him out of his account twice up to now month with out offering an evidence. He additionally highlighted the corporate’s failure to transparently disclose a current breach that uncovered buyer information, which allegedly led to monetary losses for some customers.

Whereas acknowledging that Coinbase gives aggressive annual share returns on stablecoins, ZachXBT concluded that he couldn’t advocate the platform to others on account of these unresolved points.

Information Breach, Account Lockouts, and Lack of Transparency

ZachXBT’s comments come amid rising considerations about Coinbase’s dealing with of consumer safety and assist. Regardless of advertising itself as a safe, clear, and controlled platform, the change has confronted a collection of challenges.

Coinbase, which went public in 2021, has lengthy positioned itself as a gateway to the crypto world for each institutional traders and newcomers. Nevertheless, incidents just like the one ZachXBT described paint a special image for extra skilled customers.

This isn’t the primary time ZachXBT slammed Coinbase. He had beforehand lashed out on the change’s management for failing to report theft addresses, present responsive assist, or react swiftly to threats. His findings revealed that a minimum of $65 million was stolen by means of these scams between December 2024 and January 2025.

The scammers allegedly impersonated Coinbase assist utilizing spoofed communications to trick customers into transferring funds to compromised addresses. ZachXBT attributed the scams to Indian teams and low-level cybercriminals whereas criticizing Coinbase’s insufficient response.

Coinbase Controversies

This newest remark provides to a historical past of security-related considerations for the platform. In 2021, Coinbase customers reported being locked out of their accounts for prolonged intervals, typically throughout occasions of excessive volatility out there. Many of those customers struggled to get well timed assist, resulting in vital monetary losses.

Coinbase confronted accusations of account restrictions final October as nicely. Throughout the identical interval, a number of customers of the platform additionally reported safety threats, with attackers impersonating Coinbase assist. A researcher beneath the pseudonym ‘pcaversaccio’ lashed out at Coinbase’s place on VPNs, which was defended by the platform.

The change’s Senior Director of Product Administration, Scott Shapiro, later clarified that VPNs alone don’t increase flags, however mixed with suspicious exercise, resembling unfamiliar logins, they might immediate safety checks.