CoinGecko Data Breach Affecting Almost 2 Million Users

The recent CoinGecko data breach has affected many of their users; close to 2 million accounts were attacked.

CoinGecko, a prominent cryptocurrency data aggregator, has disclosed that it was the victim of a significant data intrusion on June 5, 2024. The company has disclosed that the most recent data breach occurred via its third-party email platform, GetResponse.

According to reports, the perpetrator compromised the account of a GetResponse employee to access the data of CoinGecko’s customers. Nevertheless, CoinGecko was only informed of the data breach nearly 24 hours had passed, resulting in unprecedented damage.

Already, 23,723 emails have been subjected to phishing assaults due to the CoinGecko attacker’s exportation of 1,916,596 customer contacts from GetResponse.

“Unfortunately, this incident resulted in the compromise of personal information, including the name of the user (if provided during sign-up), email address, IP address, and location of email opens, as well as other metadata, such as the date of account sign-up and subscription plan.” “No passwords were compromised, and CoinGecko user accounts remain secure,” the announcement stated.

Meanwhile, CoinGecko has informed all affected users of the data compromise and advised them to remain vigilant against any phishing activity. The company warned its clients of the potential for increased phishing emails, as the attacker targeted multiple web3 firms.

“Emails that purport to offer token airdrops by CoinGecko or GeckoTerminal are unauthorized. The attacker sends them.” The company also stated that it does not possess officially issued coins or tokens.

Market Repercussions of the CoinGecko Data Breach

The CoinGecko assault is a stark reminder of the daily hazards the Web3 industry encounters. In the years ahead, sophisticated Web3 attacks will increase in intensity as macro-crypto bullish sentiments reemerge. Additionally, well-organized assailants can exploit crypto mixers to compromise poorly designed smart contracts and siphon users’ funds.

The ease with which Web3 attackers can compromise CoinGecko, a reputable firm in the industry for years, is a stark reminder that no one is immune. Web3 attackers have been identified as collaborating closely with insiders to facilitate the assaults seamlessly.

It is prudent for all web3 investors to undertake thorough due diligence, particularly concerning intelligent contracts, in the context of the ongoing crypto bull run. Rug pulls, which are exit scams, are also a risk for web3 users and legacy assaults that steal users’ data.

The CoinGecko assault was initially reported by Paolo Ardoino, the CEO of Tether, who advised crypto investors to be cautious of any emails that suggested airdrops.

A broader perspective

In the recent past, attackers have been able to exploit voids in the crypto industry because it is regulated differently in each global jurisdiction. For example, crypto mixers like Tornado Cash are still operational in most jurisdictions, except the United States and a handful of other countries.

Sophisticated attackers can effortlessly siphon users’ funds due to the absence of adequate encryption infrastructure in most web3 initiatives.