Zachxbt slams Coinbase through account locks, data leaks and lack of transparency

Crypto Investigator and On-Chain Thruce Zachxbt have Torn Coinbase on repeated account locks and private data breach.

Zachxbt says in a harsh critique that renews its allegations about one of the world’s biggest cryptocurrency exchanges, Coinbase’s culture is defined by the “lack of”. Transparency. ”

On social media, Zachxbt announced Frustration: “You locked out of my account twice for no reason last month (again today). There was a customer data leak that was not announced transparently. (lead (for theft). ”

He acknowledged that the platform offers a stable annual return rate, but ultimately stated that Coinbase cannot be recommended as a replacement for others.

Zachxbt fires a fresh backlash over Coinbase’s troubled history with user trust and security

Zachxbt’s comments sparked controversy over Coinbase’s customer data processing, practices and support.

The company is primarily a “money future” and promotes its position as a paragon of regulatory compliance in the crypto space, but cases of this nature rarely increase its reputation, especially among experienced users.

Coinbase describes itself as a secure, transparent and regulated entry point to crypto – A A message that is easy to sell to institutional investors and new entrants.

The first public recruitment in 2021 was a fork in the crypto industry. However, the company’s history tells a more complicated story for long-time users and crypto veterans.

That same year, Coinbase was criticized for months without resolution after reporting thousands of users being locked out of their accounts.

The New York Times explained that many of these customers were unable to connect with support at the most vulnerable times.

A similar bug in Coinbase’s SMS account recovery process later in the same year allowed hackers to bypass two-factor authentication and drain user wallets.

Coinbase ultimately refunded the victim, but critics pointed out that the company’s communications were slow and that it didn’t take the violations seriously enough.

Coinbase is facing increased regulatory pressures while users express growth dissatisfaction

Coinbase is not used to controversy. In 2023, the Securities and Exchange Commission (SEC) sued the company for operating an unregistered stock exchange.

on the other hand Coinbase is fighting lawsuits and positions itself as a pioneer in regulatory compliance. Users like Zachxbt believe the company is showing the same diligence in protecting and communicating with customers.

Coinbase has been legally pushed back – calling for the creation of a new regulatory framework for the industry, but the lawsuit is putting pressure on businesses to demonstrate commitment to compliance not only by regulators but also by users.

Zachxbt’s statement also reflects a widespread distrust of the current situation in the crypto world, many of which are drawn to decentralized platforms in search of greater control, transparency and reliability.

Accusations like Zachxbt have particular weight in the crypto world. Famous for carefully tracking various fraudulent schemes and helping users recover lost funds, he is a widely assumed guardian of crypto ethics.