As crypto prices soar higher and higher – and cryptocurrency becomes more of a mainstream thing – individual accounts (even on platforms like Coinbase) become high-value targets for hackers and cyber criminals.
Coinbase has a better reputation for cybersecurity than ever before, but with more than 89 million verified users on the platform today it presents a big target. Luckily, though, Coinbase will indeed refund any of the crypto that has been stolen from you if your account has been proven to be hacked.
That’s great protection and solid peace of mind.
We also cover how to determine whether or not your account has been hacked, how these hacks can happen, and how to better protect yourself from hacks in the future, too.
Will Coinbase Refund If Your Account is Hacked?
Coinbase, now a publicly traded company, has significantly upgraded and heavily invested in their cyber security protocols.
When Coinbase was still quite young there were a number of hacks that compromised the platform. It wasn’t at all uncommon for hacks to be noticed, bugs to be found, and major new upgrades to the security profile of Coinbase to be upgraded on a weekly basis.
Of course, the platform also had a number of really high profile acts as well.
The 2013 “Bitcoin Hot Wallet” hack, the 2019 “Password Glitch hack, and the 2021 “MFA Flaw Hack” were just three of the most prominent hacks this platform has ever seen. All of those security flaws were found and addressed, with Coinbase working to future proof their platform to make sure they couldn’t happen again.
In 2022, a white hat hacker found a security flaw on Coinbase that had the potential to “nuke the crypto markets”. Instead of abusing the hack, the individual reported it, worked with Coinbase to fix the problem, and received a $25,000 bounty for his assistance.
You should also know that Coinbase has taken out a considerable “crime insurance” policy to protect digital assets that their individual clients and members hold.
The bottom line is this – if you are hacked (and it’s proven that you have been hacked) you’re going to have every single penny of your stolen crypto returned to you without delay.
How Did My Coinbase Account Get Hacked?
Figuring out whether or not your account has been hacked is usually as simple as trying to login, finding your password changed (without your consent), and finally getting into the account only to discover that your crypto has been lifted from you.
This doesn’t happen often, but it definitely can happen – and is usually the direct result of social engineering as opposed to security flaws on Coinbase being exploited.
Phising attacks are incredibly common, with hackers and cyber criminals trying to find ways to convince you to give up your password, your account credentials, or other identifying information that gives them control over your account without having to brute force their way into Coinbase itself.
You have to be really careful about giving anyone your information, including people that say they are representatives of Coinbase themselves.
As a general rule of thumb, do not – DO NOT – provide your name, password, or other account information details to anyone outside of someone from Coinbase that you have contacted directly yourself.
Not someone that has contacted you and said they are representatives of Coinbase. Someone that you have reached out to through official channels that you know are on the up and up.
What Do I Do If My Coinbase Account is Hacked?
If you believe that you have been hacked, it’s important to reach out to Coinbase customer service and support as soonest humanly possible.
You can do this through the online interface, through the mobile app, or by dialing 1-888-908-7930 anytime, day or night, every single day of the year.
You want to explain to the person you get on the line that you believe your account has been hacked, that you want help verifying that the hack has in fact happened, and that you would like to begin the investigation and confirmation process so that you can get your crypto returned to you ASAP.
The customer service representative on the line will walk you through the step-by-step process, asking information to confirm that you in fact on the account in question. They’ll then run through standard security protocols to verify that the account has in fact been hacked.
At some point they will likely escalate your call to the security department, putting you in touch with experts that can only help you to confirm that your account was hacked (helping you get your crypto returned quickly) but also helping you better secure your account as well.
Take their advice and follow their instructions to the letter!
How to Secure My Coinbase Account
If you’ve been hacked – and even if you haven’t – it’s important that you do everything you can on your end to secure your Coinbase account.
Two Factor Authentication
For starters, it’s a good idea to enable two factor authentication just as soon as you set up your account.
Two finger authentication is a huge boost for your security, not only giving you a lot more control and protection over your account but also helping you identify when individuals or organizations are trying to steal your account details, too.
Lock Down Account
Secondly, you want to make sure that you know exactly how to lock down your account if you believe security has been breached.
This can be done through the mobile app, on the phone, or through the online customer support form. Locks are temporary, initiated by you, and have a specific – and relatively straightforward – process to unlock your account when you feel the flaw has been identified and solved.
Secure Your Other Accounts
Finally, it’s never a bad idea to further secure and protect any of the bank accounts, phone numbers, or other accounts that you have linked to your Coinbase account, either.
Use two factor authentication, use strong passwords, and make sure that you don’t repeat any of your login credentials to avoid a breach somewhere else compromising your Coinbase account.
Closing Thoughts
If you are in fact a victim of hackers, you can rest easy.
Coinbase will have your back. They will refund every penny of the crypto that was stolen from you as a result of your hack, and they’ll usually refund it a whole lot faster than you would have thought possible.
Just make sure that you take all necessary steps to secure your account and prevent these hacks from happening in the first place!