Coinbase Accused of Covering Up $1B in Hacks, Losing $25M in Client Funds
BlockTower Capital founder Ari Paul has made explosive allegations against Coinbase, claiming that the exchange lost $25 million of his company's funds and covered up over $1 billion in hacks. The alleged cover-up affects at least a dozen firms, with Paul stating that Coinbase still refuses to return the money.
In a series of tweets, Paul revealed that he had been dealing with the issue for years, but was unable to speak out due to ongoing legal processes. He also mentioned that his firm's losses were just one part of a larger problem, with over $1 billion in hacks being covered up by Coinbase.
Paul's allegations come after a series of posts on X from Cobie, a prominent crypto investor who was promoting a 'shitcoin' and downplaying concerns about Coinbase's security. However, Paul was able to corroborate the claims through his own investigation and dealings with the exchange.