{"id":129366,"date":"2025-05-16T04:28:17","date_gmt":"2025-05-16T04:28:17","guid":{"rendered":"http:\/\/cryptospotters.net\/?p=129366"},"modified":"2025-05-16T04:28:17","modified_gmt":"2025-05-16T04:28:17","slug":"coinbase-drops-7-on-customer-breach-sec-probe-into-user-numbers","status":"publish","type":"post","link":"http:\/\/cryptospotters.net\/?p=129366","title":{"rendered":"Coinbase drops 7% on customer breach, SEC probe into user numbers"},"content":{"rendered":"<p>Source: Cointelegraph.com NewsCoinbase stock dipped after news broke of a cyberattack that exposed customer data and an ongoing Securities and Exchange Commission investigation over misstated user numbers in 2021.<br \/>\nThe double whammy of bad news rattled investors as company stock (COIN) slid 7% in a fall to $244 in after-hours trading on May 15, according to Google Finance.\u00a0\u00a0<br \/>\nCoinbase stock 24 hours. Source: Google Finance\u00a0Coinbase has since confirmed the report from The New York Times, which stated the SEC has been investigating whether Coinbase misstated its user numbers in past disclosures, an inquiry that began during the Biden administration and has continued under the Trump administration.<br \/>\n\u201cThis is a hold-over investigation from the prior administration about a metric we stopped reporting two and a half years ago, which was fully disclosed to the public,\u201d confirmed Coinbase chief legal officer Paul Grewal to Cointelegraph.\u00a0<br \/>\n\u201cWe also disclosed \u2013 and continue to disclose \u2013 the more relevant metric of \u2018monthly transacting users\u2019 \u2013 the number of people who use our platform in a given month,\u201d he said before adding:\u00a0<br \/>\n\u201cWhile we strongly believe this investigation should not continue, we remain committed to working with the SEC to bring this matter to a close.\u201d\u00a0<br \/>\nThe regulator took specific umbrage at Coinbase\u2019s claim of \u201c100+ million verified users\u201d that appeared in its marketing and IPO documentation in 2021. However, the exchange stopped reporting this metric in 2022.<br \/>\nIn its 2022 financial statement, the firm stated it would stop reporting the metric as it no longer believed it provided meaningful information to its business performance. Source: SECThe probe has continued despite the SEC dropping its 2023 enforcement lawsuit against Coinbase under the Trump administration.\u00a0<br \/>\nCoinbase has hired law firm Davis Polk &amp; Wardwell to assist with its response to the SEC.<br \/>\nCoinbase refuses to pay ransom<br \/>\nOn May 15, Coinbase reported that it was attacked with a $20 million extortion attempt after cybercriminals recruited overseas support agents to leak user data.<br \/>\n\u201cThese insiders abused their access to customer support systems to steal the account data for a small subset of customers,\u201d the firm stated.\u00a0<br \/>\nRelated: Coinbase to become the first crypto firm to join the S&amp;P 500<br \/>\nCoinbase refused to pay the ransom but said it would reimburse victims of phishing attacks as a result of the data breach, with expected remediation and reimbursement expenses ranging from $180 million to $400 million.<br \/>\nMagazine: Metric signals $250K Bitcoin is \u2018best case,\u2019 SOL, HYPE tipped for gains: Trade Secrets<a href=\"https:\/\/cointelegraph.com\/news\/coinbase-drops-7-on-staff-breach-sec-probe-into-user-numbers?utm_source=rss_feed&amp;utm_medium=rss&amp;utm_campaign=rss_partner_inbound\" target=\"_blank\" class=\"feedzy-rss-link-icon\" rel=\"noopener\">Read More<\/a><\/p>","protected":false},"excerpt":{"rendered":"<p>Source: Cointelegraph.com NewsCoinbase stock dipped after news broke of a cyberattack that exposed customer data and an ongoing Securities and Exchange Commission investigation over misstated user numbers in 2021. The&hellip; <\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[5],"tags":[],"_links":{"self":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/129366"}],"collection":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=129366"}],"version-history":[{"count":0,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/129366\/revisions"}],"wp:attachment":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=129366"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=129366"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=129366"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}