Having siphoned over $900,000 from more than 500 Coinbase users, a hacker has been sentenced to 3.5 years in jail. From the UK, Elliot Gunton and associates built phoney websites that closely matched the well-known bitcoin exchange. Users trying to log in were sent to these phoney websites, therefore compromising their accounts.
These phishing websites sought to grab user credentials. The information was sent to the attackers once victims provided their login details. Judge Alice Robinson of Norwich Crown Court said the strategy was “very sophisticated,” pointing out significant technical expertise and preparation.
Coinbase Account Hack Victims
The phishing effort ran from 2018 to 2019. With almost $4.3 billion in cryptocurrency lost to hacks and frauds, a 2020 Chainalysis analysis revealed a rise in crypto-related crimes during this era.
Gunton, then 17 years old, broke into more than 500 Coinbase accounts, resulting in funds losses ranging from hundreds to over $16,000 per. After admitting guilt to conspiracy to conduct fraud and money laundering, he was sentenced 43 months.
One frequent target for impersonation now is Coinbase. According to a June 24 Mailsuite analysis, during four years, the brand of the exchange was linked to 424 phishing assaults. Recently, on July 8, phishing link compromising part of the key word permitted criminals posing as Coinbase staff steal $1.7 million from a victim’s self-custody wallet.
Scammers have even pretended for Coinbase Pro, the erstwhile professional trading platform of the Exchange. May saw an Indian individual accused of pilfering $37 million using a phoney exchange Pro website.
In Q2 2024, security company SlowMist found phishing as the main driver of crypto losses.
