INVESTOR ALERT: Pomerantz Law Firm Investigates Claims On Behalf of Investors of Coinbase Global, Inc.- COIN
Pomerantz LLP is investigating claims on behalf of investors of Coinbase Global, Inc. ("Coinbase" or the "Company") (NASDAQ: COIN). Such investors are advised to contact Danielle Peyton at newaction@pomlaw.com or 646-581-9980, ext. 7980.
The investigation concerns whether Coinbase and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices. This is not a typical class action lawsuit, but rather an investigation into possible wrongdoing by the company's leadership.
A Cybersecurity Breach Exposed
On May 5, 2025, media outlets reported that a cybercriminal had exploited a vulnerability in TeleMessage, an archiving and messaging platform used by organizations to capture and store mobile communications. Coinbase was among the companies affected by this hack.
Then, on May 11, 2025, Coinbase submitted a Data Breach Notification to the Office of the Attorney General of Maine, which disclosed a data breach occurring on December 26, 2024, and having been discovered on May 11, 2025. The breach was attributed to "insider wrongdoing."
A Demanding Email
On May 14, 2025, Coinbase disclosed in a filing with the U.S. Securities and Exchange Commission that the Company had received an email communication from an unknown threat actor claiming to have obtained information about certain Coinbase customer accounts, as well as internal Coinbase documentation.
The email demanded money in exchange for not disclosing the information. This demand was part of a larger scheme where criminals had improperly obtained personal data on Coinbase's customers for use in crypto-stealing scams.
A CEO's Announcement
Then, on May 15, 2025, Coinbase Chief Executive Officer Brian Armstrong announced in a social media post about the hack that criminals had improperly obtained personal data on the exchange’s customers for use in crypto-stealing scams and were demanding a $20 million payment not to publicly release the information.
Armstrong stated that criminals had obtained the data by bribing Coinbase customer service agents. This revelation led to a significant decline in Coinbase's stock price, falling $18.97 per share, or 7.2%, to close at $244.44 per share on May 15, 2025.
A Growing Concern
Pomerantz LLP is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, Pomerantz pioneered the field of securities class actions.
Today, more than 85 years later, Pomerantz continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members.
For investors affected by this potential wrongdoing, contact Danielle Peyton at newaction@pomlaw.com or 646-581-9980, ext. 7980 to learn more about joining the investigation. Click here for information about joining the class action.