The Coinbase is that it has been flooded in a flood of suits after it recently disclosed its user data has been damaged, with users accusing the exchange of crypto of avoiding the incident.
At least six suits were filed against the Coinbase between May 15 and May 16, all of which made different claims that the exchange failed to maintain strict security protocols to protect the user’s data and handle the data breach after poorly.
In one of the demands, filed in a New York federal court on May 16, plaintiff Paul Bender argued that Coinbase failed to protect the sensitive personal information of millions -million users during data violations.
Coinbase reported on May 15 that four days earlier was that it was in a $ 20 million attempts of bullying after CyberCriminals Some of its customer support agents are great to access internal systems and steal a limited amount of user account data.
The stolen data includes names, addresses, phone numbers, email, the last four digits of Social Security numbers, some bank account identifiers, driving licenses, passports and some account data, such as snapshots of balance and transaction history.
Bender admitted that “Coinbase failed to implement and maintain reasonable security care,” exposing users to “serious and ongoing risks.”
The suit also claimed Coinbase’s response to the incident was “inadequate, scattered, and delayed.”
“Users do not immediately or fully know about compromise, and Coinbase does not immediately take significant steps to reduce further damage, provide identification protection services, or offer action guide to the affected individuals,” the complaint claimed.
The lawsuit is claimed by users may face “large, immediate, and ongoing threat of theft of identity and financial fraud” and that the consequences of violations may be long -term or “potentially permanent” because the compromised information will not be recovered or safely exposed.
The fuzzy of the suits makes similar allegations
Two other demands filed in a New York federal court have made similar claims against Coinbase, while a fourth lawsuit has added allegations of unfair enrichment, focusing that the Coinbase does not spend sufficiently on data security measures.
All four complaints request injuries and other measures to help protect the plaintiff’s sensitive data.
Meanwhile, a fifth lawsuit filed in a California federal court on May 15 made similar claims against Coinbase, but asked the court to order Coinbase to clean up all the sensitive data it holds about the plaintiff and hire third-party security auditors to test the systems of security, among other requests.
A Coinbase spokesman did not comment on the suits and instead pointed to the cointelegraph in a blog post it shared about data violations.
Coinbase said it refused to pay the $ 20 million ransom and that was —flag plans to compensate users that -Trick on shipping Crypto to phishing scammers Due to the data breach.
In a file with the US Securities and Exchange Commission, the exchange said it expects payment costs from $ 180 million to $ 400 million.
Related: The retired artist loses $ 2m in crypto in Coinbase impersonator
The exchange too reported to have fired a group of customer support agents Based on India following their alleged involvement in social engineering attacks with users.
Coinbase (Coin) shares Dipped 7% and dropped to $ 244 After revealing the data violations with a continued SEC investigation into the wrong user numbers in 2021.
Stock has since presented a comeback, spiking 9% and hitting $ 266 by closing the bell on May 16 According to In Google Finance.
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