"A Federal Class Action lawsuit was launched against Coinbase to prevent the theft of crypto user accounts."
"The plaintiffs allege that their Coinbase digital wallets were emptied of cryptocurrency and that the exchange refused to compensate them."
"According to attorneys at BraunHagey & Borden LLP, Coinbase misrepresents itself as having never been hacked and having completely secure digital wallets. In actuality, however, the plaintiffs argue that the platform’s account security network is very susceptible to assault and that Coinbase has routinely failed to prevent several breaches resulting in customer losses."
"The new breaches occurred less than a year after the exchange paid a whopping $300 million to resolve identical charges brought by the California Attorney General. Plaintiffs are dissatisfied with the company’s indifference to customer losses."
When plaintiffs contacted Coinbase for assistance:
“It routed them through its automated complaint processing—a recursive loop of impenetrable screens that prevented them from explaining their situation to any human being and was incapable of redressing the theft of their savings.”
"Among other solutions, plaintiffs now demand civil and punitive damages, restitution, and injunctive relief."
Coinbase user criticises “impenetrable screens.
"One Coinbase account user reported that it took him many days to reach customer service after the crooks emptied his whole account before he received assistance."
"At this point, at least $200,000 in crypto money had been stolen from Manish Aggarwal’s account, according to his legal team’s proposed class-action complaint filed in federal court in San Francisco."
"Coinbase performed poorly in securing user accounts from illegal incursion and theft and did “an even poorer job” aiding clients whose accounts have been hacked."
According to Aggarwal’s attorneys, instead of contacting him to a trustworthy customer service agent who might have assisted him, the company diverted him:
"According to the lawsuit, in 49 minutes on April 24, hackers used 6,000 separate transactions to remove $190,000 from Aggarwal’s account. Aggarwal said that Coinbase had failed to reimburse his lost cryptocurrency. He intends to represent other Coinbase investors who have experienced losses comparable to his own."
This case is Aggarwal v. Coinbase Inc., 3:22-cv-04829, Northern District of California, United States District Court (San Francisco).
DISCLAIMER: TDNO has shared the news story verbatim as per source article. If Coinbase or other parties have an issue with this content, please contact the author at source. If the author is required to update or adapt the article, TDNO will comply with any updates or adaptions as may be required by law. Or better still, get your shizzle together, stop punishing victims and whistle blowers, and fix your service. Article posted by @glynmaclean