Crypto investor Ari Paul says Coinbase "lost" $25 million of his firm's assets and covered up repeated hacks rather than returning the money. He says the pattern extends to at least a dozen other firms and more than $1 billion in undisclosed losses, and Coinbase says it has reached out to him directly.
According to Paul: "Coinbase 'lost' $25m of my firm's a couple years ago." He says the exchange was actually covering up massive and repeated hacks and still has not returned the funds.
The investor says his team traced the pattern to at least a dozen other affected firms and over $1 billion covered up. He adds that multiple legal processes tied to the case are still ongoing.
Paul says Coinbase told investors and customers, including pensions conducting official due diligence, that it was never hacked — at least as of two years ago, by his last check. He says the exchange holds internal documentation showing it knowingly misled customers and investors about this over time.
The investor says he holds no long or short position in Coinbase equity and has no vendetta against the exchange, adding that he remains heavily long crypto overall.
Coinbase responded on X saying it has sent Paul a direct message and wants to look into the matter with him.
Source: The Daily Hodl
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