Hackers allegedly get better of the security protocols and reportedly took advantage of Coinbase’s SMS account recovery process to gain access to user funds. This is not the first times this has happened.
Reports have claimed that one of the world’s renowned cryptocurrency exchange Coinbase’s multi-factors authentication process being breached once more after hackers successfully bypassed the security protocols. Coinbase also experienced the same sort of breaches in the past.
The reports have also claimed that hackers have stolen the cryptocurrency from around 6,000 digital accounts. However, the actual amount of the stolen cryptocurrency is not being revealed yet. As of this writing, Coinbase has informed the victims about the accounts breach. Coinbase has also told them that is quite possible that hackers might have access to their accounts email, password, and phone number.
It’s a real question mark that how the hackers acquired this data, however phishing tricks focusing on users is not something new to crypto world. In any case, Coinbase pointed out a weakness in the record recuperation measure that the hackers took advantage of to access the records: “The detailed analysis of this incidents indicates that hackers took advantage of the vulnerability in Coinbase’s SMS Account Recovery process in order to receive an SMS two-factor authentication token and gain access to your account.”
It also worth mentioning that Coinbase, one of the world’s largest crypto exchanges has been criticized multiple in the past as well because of its extremely poor customer service. However, Cointelegraph opened up on this matter by saying that those customers who being robbed and their accounts were drained during this attack were unable to reach Coinbase’s customer support team. Some experts suggested that Coinbase on purpose stooped the support team from connecting with users as the company was not sure how to respond to customer’s questions.
However, the anti-crypto opinion holders have discussed that the current breach shows that customer safety is one of the biggest concerns when it comes to digital trading. Moreover, customers don’t have any option in case they are being robbed. One cannot reach put to these digital exchnages. That’s why it is never a safe option to invest in digital trading. Moreover, the crypto critics ones more said that regulatory authorities must ensure customer satisfaction by enforcing strict regulatory sanctions on these digital exchanges.
As of this writing, some of crypto-friendly experts have also criticized Coinbase. The company has not been able to upscale its customer service department appropriately. It is not acceptable at all that you are carrying billions of dollars’ worth of digital assets owned by people, and you don’t event have an average customer support department. Moreover, the experts also said that this could be extremely damaging for the Coinbase and crypto market as well.