Coinbase ex-employee arrested in India over $20M customer data breach
27 Dec 2025

Coinbase, the largest cryptocurrency exchange in the US, has confirmed the arrest of a former customer service agent in India.

The arrest comes months after a major security breach where hackers bribed customer service representatives to gain access to sensitive customer information.

The incident, which was one of the most high-profile cases of its kind on a crypto trading platform, saw hackers demanding a ransom of $20 million.

CEO's statement on the arrest
Armstrong's reaction

Coinbase CEO Brian Armstrong announced the arrest on X, thanking the Hyderabad Police for their efforts.

He said, "We have zero tolerance for bad behavior and will continue to work with law enforcement to bring bad actors to justice."

The arrest occurred alongside a recent collaboration between Coinbase and the Brooklyn District Attorney's Office.

The prosecutors had charged a Brooklyn man for running an impersonation scheme targeting Coinbase customers.

Financial impact and stock performance
Market response

The security breach had a major financial impact on Coinbase, with the company estimating that it could cost up to $400 million to fix.

Shares of Coinbase fell by about 1.2% to $236.79 on Friday.

The stock has been down by around 4.6% this year, reflecting investor sentiment and its financial implications for the company.