Coinbase support agent arrested in India for aiding hackers in data breach

A former customer support agent for Coinbase has been detained in India for assisting hackers in stealing sensitive customer information earlier this year, Bleeping Computer reported. 

The suspect was arrested in Hyderabad, the capital of Telangana state, and a major technology hub. Coinbase CEO Brian Armstrong indicated that this is just the beginning, warning that more individuals are likely to face arrest.

The arrest stems from a breach revealed in May 2025, where rogue support agents granted access to hackers. These cybercriminals subsequently demanded a $20 million ransom to prevent the release of stolen data.

The incident was traced back to TaskUs, a customer support outsourcing firm in India. Hackers reportedly bribed employees to gain system access. In response, TaskUs confirmed to BleepingComputer that while the breach was limited to two individuals, the company took the drastic step of shutting down the entire affected department of 226 employees.

Impact on Users

Coinbase clarified that the breach compromised the personal data of approximately 69,500 customers. Exposed information included names, dates of birth, physical addresses, and the last four digits of Social Security numbers. For some users, the theft was even more severe, involving scanned documents used for “Know Your Customer” (KYC) verification.

The arrest follows closely on the heels of charges filed against Ronald Spektor, a 23-year-old scammer based in Brooklyn. Spektor is accused of impersonating a Coinbase support representative to defraud customers of $16 million.

Spektor’s scheme involved convincing victims their accounts were hacked and instructing them to move funds to a “safe” wallet, which actually belonged to him. Only $605,000 of the stolen funds has been recovered so far.