{"id":42624,"date":"2025-05-18T15:00:48","date_gmt":"2025-05-18T12:00:48","guid":{"rendered":"https:\/\/coinengineer.net\/blog\/?p=42624"},"modified":"2025-05-18T13:06:31","modified_gmt":"2025-05-18T10:06:31","slug":"retired-artist-loses-2m-in-crypto-to-fake-coinbase-site","status":"publish","type":"post","link":"https:\/\/coinengineer.net\/blog\/retired-artist-loses-2m-in-crypto-to-fake-coinbase-site\/","title":{"rendered":"Retired Artist Loses $2M in Crypto to Fake Coinbase Site"},"content":{"rendered":"<p class=\"\" data-start=\"3135\" data-end=\"3400\">Even the most security-conscious crypto users can fall victim to well-executed scams. A heartbreaking story from earlier this year reveals how a retired artist lost his entire digital fortune \u2014 worth <strong data-start=\"3335\" data-end=\"3349\">$2 million<\/strong> \u2014 to criminals impersonating <strong data-start=\"3379\" data-end=\"3391\">Coinbase<\/strong> support.<\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_71 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/coinengineer.net\/blog\/retired-artist-loses-2m-in-crypto-to-fake-coinbase-site\/#Seed_Phrase_Trap_Social_Engineering_at_Its_Worst\" title=\"Seed Phrase Trap: Social Engineering at Its Worst\">Seed Phrase Trap: Social Engineering at Its Worst<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/coinengineer.net\/blog\/retired-artist-loses-2m-in-crypto-to-fake-coinbase-site\/#Real_Data_Breach_at_Coinbase_Raises_Alarms\" title=\"Real Data Breach at Coinbase Raises Alarms\">Real Data Breach at Coinbase Raises Alarms<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/coinengineer.net\/blog\/retired-artist-loses-2m-in-crypto-to-fake-coinbase-site\/#Hardware_Wallets_Are_Not_Foolproof\" title=\"Hardware Wallets Are Not Foolproof\">Hardware Wallets Are Not Foolproof<\/a><\/li><\/ul><\/nav><\/div>\n<h2 data-start=\"3402\" data-end=\"3455\"><span class=\"ez-toc-section\" id=\"Seed_Phrase_Trap_Social_Engineering_at_Its_Worst\"><\/span>Seed Phrase Trap: Social Engineering at Its Worst<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p class=\"\" data-start=\"3457\" data-end=\"3803\">Ed Suman, a 67-year-old former fabricator for top artists like <strong data-start=\"3520\" data-end=\"3534\">Jeff Koons<\/strong>, spent decades in the art world before shifting his focus to <strong data-start=\"3596\" data-end=\"3624\">cryptocurrency investing<\/strong>. Over time, he amassed 17.5 <strong data-start=\"3653\" data-end=\"3664\">Bitcoin<\/strong> (<strong data-start=\"3666\" data-end=\"3673\">BTC<\/strong>) and 225 <strong data-start=\"3683\" data-end=\"3695\">Ethereum<\/strong> (<strong data-start=\"3697\" data-end=\"3704\">ETH<\/strong>) \u2014 the core of his retirement portfolio \u2014 stored safely in a <strong data-start=\"3766\" data-end=\"3786\">Trezor Model One<\/strong> hardware wallet.<\/p>\n<p class=\"\" data-start=\"3805\" data-end=\"4036\">But in March, he received a text message that appeared to be from <strong data-start=\"3871\" data-end=\"3883\">Coinbase<\/strong>, alerting him to suspicious account activity. He replied, and shortly afterward, a man calling himself \u201cBrett Miller from Coinbase security\u201d called him.<\/p>\n<hr \/>\n<p data-start=\"4038\" data-end=\"4301\"><strong><em>You Might Be Interested In: <a href=\"https:\/\/coinengineer.net\/blog\/elon-musk-talks-about-the-name-of-a-new-memecoin\/\">Elon Musk Talks About the Name of a New Memecoin!<\/a><\/em><\/strong><\/p>\n<hr \/>\n<p class=\"\" data-start=\"4038\" data-end=\"4301\">The caller seemed legitimate, even referencing Suman\u2019s use of a hardware wallet. Over the phone, he walked Suman through a supposed &#8220;security procedure,&#8221; which required him to enter his <strong data-start=\"4224\" data-end=\"4239\">seed phrase<\/strong> into a site that perfectly mimicked <strong data-start=\"4276\" data-end=\"4290\">Coinbase\u2019s<\/strong> interface.<\/p>\n<p class=\"\" data-start=\"4303\" data-end=\"4415\">A second scam call came nine days later. After following the same process again, all of Suman\u2019s crypto was gone.<\/p>\n<p data-start=\"4303\" data-end=\"4415\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-156224 \" src=\"https:\/\/coinmuhendisi.com\/blog\/wp-content\/uploads\/2025\/05\/coinbase-993x1024.jpg\" alt=\"coinbase\" width=\"765\" height=\"789\" \/><\/p>\n<h2 data-start=\"4417\" data-end=\"4463\"><span class=\"ez-toc-section\" id=\"Real_Data_Breach_at_Coinbase_Raises_Alarms\"><\/span>Real Data Breach at Coinbase Raises Alarms<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p class=\"\" data-start=\"4465\" data-end=\"4688\">Coincidentally or not, <strong data-start=\"4488\" data-end=\"4500\">Coinbase<\/strong> recently disclosed a <strong data-start=\"4522\" data-end=\"4537\">data breach<\/strong> where attackers bribed Indian customer support contractors to access private user data \u2014 including names, account balances, and transaction histories.<\/p>\n<p class=\"\" data-start=\"4690\" data-end=\"4921\">Roughly <strong data-start=\"4698\" data-end=\"4704\">1%<\/strong> of monthly users were affected, including Sequoia Capital\u2019s managing partner <strong data-start=\"4782\" data-end=\"4798\">Roelof Botha<\/strong>. While no funds were confirmed stolen from him, the incident highlights growing concerns over third-party vulnerabilities.<\/p>\n<p class=\"\" data-start=\"4923\" data-end=\"5077\">Coinbase has since fired the compromised contractors and is planning to compensate affected users with a budget between <strong data-start=\"5043\" data-end=\"5076\">$180 million and $400 million<\/strong>.<\/p>\n<h2 data-start=\"5079\" data-end=\"5117\"><span class=\"ez-toc-section\" id=\"Hardware_Wallets_Are_Not_Foolproof\"><\/span>Hardware Wallets Are Not Foolproof<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p class=\"\" data-start=\"5119\" data-end=\"5338\">Suman\u2019s tragic loss is a painful reminder: <strong data-start=\"5162\" data-end=\"5178\">Seed phrases<\/strong> should never be entered into any website, regardless of how authentic it looks. The biggest threat in crypto isn\u2019t always technology \u2014 it\u2019s human manipulation.<\/p>\n<hr \/>\n<p data-start=\"5119\" data-end=\"5338\"><em>You can also freely share your thoughts and comments about the topic in the comment section. Additionally, don\u2019t forget to follow us on our\u00a0<a href=\"https:\/\/t.me\/coinengineernews\" target=\"_blank\" rel=\"noreferrer noopener nofollow\"><strong>Telegram,\u00a0<\/strong><\/a><a href=\"https:\/\/www.youtube.com\/@CoinEngineer\" target=\"_blank\" rel=\"noreferrer noopener nofollow\"><strong>YouTube<\/strong><\/a>,\u00a0and\u00a0<a href=\"https:\/\/twitter.com\/coinengineers\" target=\"_blank\" rel=\"nofollow noopener\"><strong>Twitter<\/strong><\/a>\u00a0channels for the latest\u00a0<a title=\"News\" href=\"https:\/\/coinengineer.net\/blog\/news\/\" data-internallinksmanager029f6b8e52c=\"7\">news<\/a>\u00a0and updates.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Even the most security-conscious crypto users can fall victim to well-executed scams. A heartbreaking story from earlier this year reveals how a retired artist lost his entire digital fortune \u2014 worth $2 million \u2014 to criminals impersonating Coinbase support. Seed Phrase Trap: Social Engineering at Its Worst Ed Suman, a 67-year-old former fabricator for top<\/p>\n","protected":false},"author":28,"featured_media":37071,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9,657,2],"tags":[61,60,151,16006,1530,16003,16005,2169,7467,11346,5890,106,105,99,16004,6060,16002,13009,3940],"class_list":["post-42624","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-crypto-news","category-en","category-news","tag-bitcoin","tag-btc","tag-coinbase","tag-coinbase-impersonation","tag-crypto-fraud","tag-crypto-investor","tag-crypto-loss","tag-crypto-scam","tag-crypto-security","tag-crypto-support","tag-data-breach","tag-eth","tag-ethereum","tag-hardware-wallet","tag-jeff-koons","tag-phishing","tag-seed-phrase","tag-social-engineering","tag-trezor"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.6 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Retired Artist Loses $2M in Crypto to Fake Coinbase Site - Coin Engineer<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/coinengineer.net\/blog\/retired-artist-loses-2m-in-crypto-to-fake-coinbase-site\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Retired Artist Loses $2M in Crypto to Fake Coinbase Site - Coin Engineer\" \/>\n<meta property=\"og:description\" content=\"Even the most security-conscious crypto users can fall victim to well-executed scams. A heartbreaking story from earlier this year reveals how a retired artist lost his entire digital fortune \u2014 worth $2 million \u2014 to criminals impersonating Coinbase support. 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