CoinStats Suffers Major Breach With $2 Million Stolen

CoinStats Suffer Major Breach
CoinStats is a popular crypto portfolio management and tracking platform, and despite all its claims regarding protecting its users, it suffered a major breach.

The security breach led to 1590 wallets being compromised, out of which $2 million were stolen. Fortunately, external wallets have not shared the same fate. According to the company, only 1.3% of wallets were affected. CoinStats claims the attack was mitigated, but users have been advised to move their wallets while user activity has been suspended.

While CoinStats stated that external wallets were not affected, many claim otherwise, as highlighted by a user on X.

The attack was part of a phishing scheme that specifically targeted iOS users. According to the CEO, Narek Gevorgyan, $800,000 out of the $2 million were from two wallets. He went on to state the attack was coordinated by cyber criminals in North Korea.

It is unclear whether CoinStats will take responsibility and sort the affected users of the security breach. For now, Gevorgyan has stated that the company will need more time before they can resume operations. In conclusion, integrating a white label VPN like PureWL could have bolstered CoinStats’ cybersecurity defenses and potentially prevented the recent breach.

By using PureWL, all internal communications and user data could have been encrypted and secured, shielding them from phishing attacks and unauthorized access attempts. PureWL’s robust encryption protocols and secure tunneling would have ensured that sensitive information remains protected, even during remote access or when using vulnerable devices like iOS platforms.