Crypto sleuth and analyst ZachXBT recently uncovered a rise in crypto scams targeting Coinbase users, leading to over $46 million in losses.
How Funds Were Stolen
ZachXBT shared his findings on Telegram, explaining how the scammers carried out the Bitcoin heists over several days. The attackers moved the stolen funds using platforms like Thorchain and Chainflip, allowing crypto transfers between blockchains without a central exchange. The funds were then converted into Ethereum (ETH) and DAI (DAI), making tracing more difficult.
Coinbase Criticized for Lack of Action
ZachXBT accused Coinbase of inaction, noting that the company hasn't flagged any stolen fund addresses in its compliance system, allowing the scammers to continue operating. The analyst pointed out the growing social engineering scam problem at the exchange, with estimated yearly losses reaching $300 million.
A Growing Problem in the Crypto Industry
These scams are not limited to one exchange, occurring across the industry. Hackers are using more advanced methods to bypass security systems. In January, a phishing scam drained millions from Ethereum wallets. The rise of decentralized finance platforms and cross-chain tools allows scammers to more easily move and launder funds.
Crypto scams continue to pose a threat, with analysts urging users to stay vigilant and double-check transactions.
