Michael Arrington warns that Coinbase Hack could lead to death

In a shocking security passage, a recent breach of data on Coinbase-needs the world’s largest cryptocurrency exchange-has grown serious security problems. Hackers allegedly approached with very sensitive user data, including housing addresses, causing fears of real violence due to increase Crypto crimes at 2025.

Although the violation affected less than 1% monthly transactions, the fall is steep. Coinbase could stare at as many as $ 400 million compensation – but a potential “human cost” can be far worse.

“People could die”: Michael Arrington explodes Coinbase

Michael Arrington, founder of TechCrunch and Arrington Capital Head, Coeded coins on x For a violation of data exposing addresses and balance, potentially causing death.

“Corinbase is very disappointed right now. Using the cheapest option for a user service has its price” Said Arrington.

Arrington blamed the outsourcing user support from Coinbase’s support even so far to call for a criminal complaint against the manager. He also ran his finger at KYC’s regulations, claiming that they were more about collection of taxes than about the safety of users – ultimately creating Medonote data that hackers are too eager to use.

Balaji Srinivan disagree with Michael Arrington

Co -founder and former CTO of Coinbase, Balaji skewedHe does not agree with Armington’s opinion that blame Coinbase Execs for a $ 400 million hack. Instead, the wrong Kyc laws are to blame. Why? These laws force companies to collect vulnerable customers data, creating risks of hacking.

It is advocated by the evidence of zero knowledge (ZK) to remove KYC and privacy priority over control. Balaji says systemic regulatory defects, not executive decisions, are a fundamental cause of such violations.

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Armstrong’s action after a violation of security

The leaders do not sit around. 15. May 2025, via a video statement on xCoinbase Executive Director Brian Armstrong confirmed a violation in a social post, revealing that the hackers had requested a $ 20 million ransom, to which he said, “No, we won’t pay your ransom.”

Armstrong promised complete compensation for influential users (1%) and announced plans to renovate the user service.

Crypto crimes on the rise: Are your data safe at 2025?

This violation is only the last in a series of violent incidents that include crypto investors. As Bitcoin trades above $ 100,000, Crypto Wealth becomes more dangerous assets.

As the dust is shrugged, all the eyes are on the coinbase. Can Armstrong fulfill his promises? Will security overhaul exchange be enough to restore user trust? Or is the damage already done?

Follow as the story develops – and as a cryptocurrent community requires answers, reforms and responsibility.

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