Dogecoin Developer Raises Privacy Concerns with Coinbase
Mishaboar, a member and developer within the Dogecoin community, has raised concerns regarding the privacy implications of Coinbase Wallet and the broader ecosystem of the exchange.
Coinbase Wallet, widely used for DeFi transactions, is flagged by Mishaboar for potentially understated risks associated with its self-custodial nature. Mishaboar highlights that connecting Coinbase Wallet to a user’s account can lead to full de-anonymization and linking of transactions across multiple chains.
Privacy concerns have long been a contentious issue in the cryptocurrency industry, especially with regulators scrutinizing trading platforms for suspicious activities. Many users have shifted to non-custodial wallets to mitigate tracking risks, but Mishaboar’s warning suggests that privacy fears persist.
Mishaboar points out that Coinbase openly collects user data, as outlined in its Terms of Service, even for unconnected wallets. This data includes usernames and transaction histories, with the possibility of sharing it with authorities if required.
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In addition to Coinbase Wallet, Mishaboar criticizes Base, Coinbase’s Layer-2 scaling protocol, for its heavy centralization and proliferation of VC-backed meme tokens. These activities have reportedly inflated Base’s transaction metrics compared to competitors like Arbitrum.
Amidst these concerns, Mishaboar advises users to act responsibly, emphasizing compliance with laws and tax obligations. He warns that failure to disclose transactions could lead to conflicts with authorities, eroding trust in Coinbase. Notably, billionaire investor Mark Cuban recently disclosed paying $275 million in taxes, signaling the importance of adhering to legal obligations within the crypto space.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
