North Korean IT workers are targeting Coinbase, according to CEO Brian Armstrong. He said the company adjusted its remote-first policies to counter these attempts. Coinbase employees have also faced bribe offers to compromise sensitive systems.
Armstrong explained that North Korean workers tried to exploit the exchange’s remote work setup to gain employment and access. Coinbase now requires in-person orientation in the United States for new hires.
Employees with access to sensitive data must hold U.S. citizenship and undergo fingerprinting. These measures aim to reduce risks from external and internal threats. The FBI recently issued a warning about North Korean IT workers who infiltrate private companies to generate revenue for the regime.
Coinbase counters Cybercrime with identity checks
According to the agency, U.S.-based facilitators have shipped laptops, joined virtual interviews, and even built front businesses on their behalf. Armstrong noted that some individuals may be coerced into cooperation, which makes the challenge even harder.
Coinbase has added steps during hiring to prevent fraud. Candidates must appear on camera during interviews to confirm their identity and prove they are not AI-driven or receiving hidden assistance. Armstrong emphasized that human presence remains vital as deepfakes and advanced cyber tactics increase.
The company also reinforced its U.S.-based operations by expanding customer support in Charlotte, North Carolina. Armstrong said that stronger physical presence requirements will likely grow across industries as cybercrime becomes more complex.
Coinbase strengthens hiring and data controls
Beyond external infiltration, Coinbase faces direct insider risks. Armstrong revealed that some workers have received offers of hundreds of thousands of dollars to hand over confidential information. To counter this, Coinbase restricts the type of data employees can access and enforces strict consequences.
Armstrong made clear that those caught collaborating with outside actors face prosecution and jail, not just termination. The exchange continues to work closely with law enforcement as these threats expand.
Armstrong said that the scale of attempts from North Korea is significant, with new groups of IT workers emerging regularly. He acknowledged the constant pressure but insisted Coinbase remains committed to security and transparency.
By tightening hiring standards, strengthening internal controls, and building its U.S. presence, Coinbase is positioning itself to withstand one of the toughest cybersecurity challenges facing the crypto industry today.
