Blockchain Sleuth Slams Coinbase Over $150M In Crypto Thefts

The crypto community is reeling from a wave of scams allegedly targeting Coinbase users.

Blockchain investigator ZachXBT recently revealed that at least $150 million has been stolen in recent months.

As per his findings, the incident involved a user losing 110 cbBTC—valued at approximately $11.5 million—after falling victim to a social engineering scam on the Base network, an Ethereum layer-2 solution backed by Coinbase.

The scam, which was uncovered on January 31, involved attackers manipulating user credentials through phishing and spoofed communications, ultimately draining funds and moving them across multiple exchanges.

ZachXBT, a respected figure in blockchain forensics, has been tracking a series of scams targeting Coinbase users. In one case, a user reportedly lost 110 cbBTC in a single exploit.

The stolen funds, valued at around $11.5 million, were quickly laundered through a series of instant exchanges and bridged to Ethereum.

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This made recovery nearly impossible. What’s more, this incident is not isolated.

According to ZachXBT, similar scams have collectively drained at least $150 million from Coinbase users over the past year.

Scam Tactics and the Method Behind the Coinbase Heists

Investigations reveal that the scam techniques are both sophisticated and persistent.

Fraudsters employ various tactics such as phishing emails, spoofed calls, and impersonation of the user support team to trick users into revealing their private keys or login details.

Once they gain access, they drain wallets and rapidly move the funds across multiple platforms to obfuscate the trail.

According to ZachXBT, the attacker in the recent incident orchestrated a series of swaps and bridge.

They consolidated the stolen assets on Ethereum before disappearing into the vast crypto ecosystem.

This method of laundering stolen assets underscores the challenge that centralized exchanges face in tracking and recovering funds once they have been dispersed across different networks.

The speed and complexity of these operations highlight a growing trend.

Fraud is not only lucrative but also difficult to combat with current regulatory and technological tools.

Coinbase Slammed Over “Serious Fraud Problem”

Amid these revelations, the exchange’s security protocols have come under intense scrutiny.

ZachXBT has publicly criticized the exchange for what he describes as a “serious fraud problem.”

According to his research, multiple thefts from Coinbase users have occurred independently, with his confirmed losses amounting to $150 million over the past year.

This mounting evidence of large-scale fraud has fueled a broader debate over the responsibility of crypto exchanges to safeguard user funds.

Critics argue that Coinbase’s current anti-money laundering (AML) systems and customer support measures are inadequate.

Past incidents have shown that scammers can impersonate support and exploit internal policies, leaving users vulnerable and little recourse for recovery.

As more cases come to light, the pressure mounts on Coinbase to enhance its security measures and prevent future exploits.

Industry Impact and Investor Sentiment

The implications of these scams extend beyond a single crypto exchange. Cryptocurrency thefts have shown mixed trends in early 2025.

According to a January 30 report by Immunefi,  hackers stole over $73 million in digital assets in January 2025.

This figure is 44% lower than the $133 million lost in January 2024. However, January’s losses were nine times higher than December 2024’s $3.8 million.

The largest incident was the attack on Singapore-based Phemex, where over $69 million was stolen.

A second significant hack targeted the Moby Trade options platform, resulting in a $2.5 million loss. These two events alone account for nearly all of January’s reported losses.

Data shows that centralized finance (CeFi) platforms suffered most of the damage.

CeFi losses in January reached over $69 million—93% of the total—while decentralized finance (DeFi) protocols only accounted for about 6.5% or roughly $4.8 million across 18 incidents.