Coinbase Wallet Adds Safety Features Following High-Profile NFT Scams

Coinbase says it is improving the safety and user experience of its Wallet app.

The crypto firm announced a number of new features on Monday aimed at improving blockchain transparency and security for Wallet users, adding transaction previews, token approval alerts, a blocklist of flagged dApps, and an a spam token management feature that automatically hides maliciously airdropped assets. 

Transaction previews will allow Wallet users to better understand how engaging with a smart contract will change their Wallet balances before they sign, Coinbase explained, while token approval alerts aim to clearly notify the user if a dApp is trying to take their NFTs or crypto.

Interacting with any “flagged” dApp will also warn Wallet users before they engage with potentially risky contracts—hopefully leading to fewer users losing their crypto in unwanted situations like phishing scams and wallet drainers. 

Coinbase Customers Block Attempts to Move Lawsuit to Arbitration

A group of customers who filed a lawsuit against Coinbase is now withholding their account information, shutting down efforts to move the case to arbitration.  The class action lawsuit concerned alleged cybersecurity failures on the part of Coinbase and seeks to compensate customers who allegedly had their accounts breached and “incurred losses arising from the unauthorized transfer of assets.” In the filing, the plaintiff alleged he had $6,000 of cryptocurrency drained from his wallet to an add...

In a blog post, Coinbase Product Manager Ayoola John said the new features were implemented because crypto transactions “are often intimidating and lack transparency,” resulting in users becoming the victims of “phishing attacks, malicious airdrops, and other types of scams.”

Coinbase has also further updated its revoke features, allowing users to disconnect from dApps from their Wallet app, and is adding support for users with multiple Web3 identities and multiple crypto wallets. Lastly, the Wallet app’s browser extension now allows users to add up to 15 different Ledger addresses.

Coinbase Wallet’s new features come just days after Proof Founder Kevin Rose fell victim to a phishing attack that drained over $1 million worth of NFTs from his wallet.

Crypto scams have also continued to make the rounds on Twitter, as both Robinhood’s official Twitter account and the Twitter account of the Azuki Ethereum NFT collection were compromised last week and used to promote various scams.