Coin Cloud Users' Sensitive Information Compromised, Source Code Stolen: Report

The latest cyberattack on Coin Cloud, the defunct Bitcoin ATM company, by an anonymous hacking group has raised alarming concerns about the physical safety of the exposed users.

The hackers claim to have infiltrated 300,000 Coin Cloud customers of personal information, including critical details such as social security numbers, dates of birth, names, email addresses, telephone numbers, current occupations, and physical addresses, according to pseudonymous cybersecurity account Vx-underground.

Cybersecurity Nightmare

This extensive breach of sensitive data poses a severe threat to the affected individuals, as it exposes them to potential physical harm and various forms of exploitation.

Of particular concern is the acquisition of 70,000 customer selfie verifications by hackers. This not only compromises the privacy of the individuals involved but also opens the door to identity theft and fraudulent activities. The revelation that the compromised data includes information on both U.S. residents and users from Brazil amplifies the scale and reach of the security breach.

The exposure of such personal and detailed information creates opportunities for malicious actors to carry out physical threats, including stalking, harassment, or targeted attacks. Beyond financial risks, the victims may find themselves vulnerable to real-world dangers, emphasizing the urgent need for enhanced cybersecurity measures and proactive efforts to safeguard sensitive data.

The compromised data includes information on US residents and Brazilian users, as per Vx-underground, which further revealed that the hackers had stolen the source code to the entire backend of Coin Cloud.

Bankruptcy

Coin Cloud was the largest operator of digital currency machines in the United States, boasting an installation of over 1,100 Bitcoin ATMs globally in January 2022. The company even aimed to expand its presence into major US retail chains.

The cryptocurrency ATM operator had earlier revealed operating a network of over 5,000 ATMs across the United States and Brazil, supporting a diverse range of more than 40 cryptocurrencies, including Bitcoin, Ethereum, Litecoin, Bitcoin Cash, Dogecoin, and others.

Despite its initial success, the cryptocurrency ATM industry faced a significant downturn in mid-2022, attributed to the crypto winter, which forced CoinCloud to file for bankruptcy in February this year. Court filings indicated that Genesis Global Trading, a subsidiary of Digital Currency Group, emerged as its largest creditor.

CryptoPotato has reached out to Coin Cloud, but the platform is yet to confirm the details.