Uncovering the $2 Million Coinbase Impersonation Scam: A Cautionary Tale
A recent investigation by on-chain investigator ZachXBT has shed light on a convincing “Coinbase Support” impersonation campaign that resulted in the theft of approximately $2 million worth of cryptocurrencies. The scam, which relied on social engineering tactics, highlights the importance of vigilance and caution when dealing with online support requests.
The scammer, who posed as a Coinbase help desk employee, used a combination of urgency and authority to convince victims that they needed to take immediate action to protect their funds. However, as ZachXBT’s investigation revealed, the scammer’s online footprint, including screenshots of Telegram group chats and social media posts, helped to identify the suspect and tie them to the crime.
Key Takeaways
The following key points summarize the scam and provide essential information for readers:
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Coinbase’s real support team will never ask for passwords, 2FA codes, or request that users transfer funds to a “secure” address.
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The scammer’s use of social engineering tactics, including urgency and authority, was a key factor in the success of the scam.
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ZachXBT’s investigation highlights the importance of on-chain analysis and online footprint tracking in identifying and preventing scams.
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The FBI reported over $16 billion in cybercrime losses in 2024, with people aged 60 and older being the most targeted demographic.
The Scam Exposed
ZachXBT’s investigation revealed that the scammer used a combination of on-chain activity and online footprint tracking to identify the suspect. The scammer’s use of expensive Telegram usernames and repeated deletion of old accounts was not enough to cover their tracks, as they often posted online about their lifestyle and gloated about their successes, ignoring basic operational safety.
Coinbase has repeatedly warned users about the dangers of scams and impersonation, emphasizing that legitimate support will never ask for passwords, 2FA codes, or request that users transfer funds to a “secure” address. The company’s security policies are designed to protect users from these types of scams, and it is essential for users to be aware of these policies and to exercise caution when dealing with online support requests.
Who is ZachXBT?
ZachXBT is a pseudonymous on-chain investigator who has made a name for himself by posting detailed public threads about hacks, scams, and suspicious money movements. His work has been cited in real cases, and his investigations have led to the identification of suspects and the prevention of further scams.
ZachXBT’s investigation into the Coinbase impersonation scam highlights the importance of on-chain analysis and online footprint tracking in identifying and preventing scams. His work serves as a reminder of the need for vigilance and caution when dealing with online support requests and the importance of being aware of the tactics used by scammers.
Coinbase’s Warnings and the Hard Truth About “Support”
Coinbase’s security policies regarding identity theft scams are clear: if someone contacts you claiming to be from Coinbase and urging you to act quickly, assume they are acting maliciously until proven otherwise. The company warns that scammers regularly impersonate employees and try to pressure users into moving funds, and that legitimate support will never ask for passwords, 2FA codes, or request that users transfer assets to a specific or “new” address, account, vault, or wallet.
Coinbase’s guidance is designed to break the pace of the attacker and prevent users from falling victim to scams. The company emphasizes the importance of slowing down, ending the conversation, and checking independently before taking any action. By being aware of these policies and exercising caution, users can protect themselves from these types of scams.
Conclusion
The $2 million Coinbase impersonation scam highlights the importance of vigilance and caution when dealing with online support requests. ZachXBT’s investigation serves as a reminder of the need for on-chain analysis and online footprint tracking in identifying and preventing scams. By being aware of the tactics used by scammers and following Coinbase’s security policies, users can protect themselves from these types of scams and ensure the security of their funds.
For more information, visit https://cointelegraph.com/news/how-zachxbt-exposed-a-coinbase-impersonation-scam-using-onchain-clues?utm_source=rss_feed&utm_medium=rss_category_analysis&utm_campaign=rss_partner_inbound
