Twitter hack: Exchange ‘blocked 1,000 Bitcoin transactions’
The Coinbase cryptocurrency exchange prevented the transfer of thousands of pounds of bitcoins to scammers during the Twitter hack, he said.
The attack saw high profile accounts like Bill Gates and Joe Biden falsely tweeting bitcoin requests.
Coinbase said it blacklisted the hacker’s wallet address, preventing over 1,000 customers from sending around $ 280,000 (£ 220,000).
Twitter is still investigating the matter.
So far the company has claimed that hackers have targeted employees who had access to internal systems and tools.
He now has limited access to these tools and has temporarily blocked users from tweeting bitcoin wallet addresses.
The attackers had access to 130 accounts and used 45 to ask members of the public to send bitcoins.
Before Coinbase noticed the scam, 14 of its users had sent bitcoins for around $ 3,000, he told Forbes magazine.
He added that he had blocked transactions “within a couple of minutes of the initial wave of scam posts.”
Fraudsters are believed to have stolen around $ 120,000 in bitcoin in total.
“Even with the addition of $ 280,000 to the pot, this is still an unsuccessful scam given the scale that hackers have achieved through hacking these very important Twitter accounts,” commented Dr. Alexi Drew, a security expert computer science at King’s College London.
The move by Coinbase indicates that the exchanges are attempting to stop scammers on their trail, he said.
“Trade, as they seek greater legitimacy and recognition in markets and financial institutions, are taking on more responsibility.
“While Coinbase could implement these proactive policies, this does not mean that all exchanges do, nor that all cryptocurrencies are about to be brought into the fold of regulated financial systems.
“There are other exchanges and cryptocurrencies that are much more relaxed and much more suitable for nefarious use.”
Coinbase is the largest bitcoin exchange in the United States, with 35 million users worldwide.