A new scam targeting the recovery phrases of Coinbase users has emerged. This technique, which aims to get access to user funds by collecting their seed phrases through phishing emails, raises alarm on security and awareness in the crypto community.
On March 16, 36crypto, alongside other Coinbase users, received an email message pretending to be from the Coinbase exchange. The email stressed an alleged breach on the exchange platform that may have compromised certain recovery phrases.
The sender recommended following some listed steps to verify the safety of the recovery phrases to prevent loss of funds. In the email, the sender included a link (phishing link) supposedly directing users to a page where they could verify their seed phrases.
The steps include users submitting their recovery phrases to verify if their wallets were included in the data breach. As per the email, users who were affected by the breach could generate a new recovery phrase upon verification.
Fake Coinbase Message | Source: 36crypto email account
36crypto Investigation
Upon receiving the email, 36crypto proceeded to verify its authenticity. The first thing we looked at was the sender’s email. A close look at the email ID revealed that the message did not originate from the official Coinbase customer reach-out email account. Instead, it was sent from an email “support@lightningdental.co” masked under coinbase.com.
Also Read: Massive Win for Crypto: SEC Drops Case Against Coinbase, Industry Reacts
Source: 36crypto email account
Also, the website lightningdental.co is unrelated to the crypto niche. Details from the platform reveal that it is a website for dentists to get health industry insight to create robust dental charting tools.
Next, we checked the link for recovering the seed phrase and found that the domain was also unrelated to Coinbase, and interestingly, also not related to the lightningdental.co email. Notably, the domain has “securemycoinbase” with an extension “.run.place.”
It is very important to note that private keys and recovery/seed phrases are not to be shared with third parties as they could grant unauthorized access to user funds, making it easy to empty wallets.
A warning on the official Coinbase website clearly states that “Coinbase will NEVER ask you for your Private Keys or Recovery Phrase. Do not share these with any person or site, or you could lose access to your wallet, or have your digital assets moved out of your wallet by an attacker.”
The Importance of Keeping Your Recovery Phrase Safe
Keeping your recovery phrase safe is very important as it serves as the only way to recover your funds if access to your wallet is lost. Here are a few reasons why you should take this seriously.
1. Full Control Over Your Assets
Unlike banks, crypto wallets are decentralized—you are the sole owner of your funds. If you lose access, no one can reset your password except you, through the recovery phrase.
2. Protection Against Device Loss or Failure
If your phone, computer, or hardware wallet is lost, stolen, or damaged, your recovery phrase restores access to your crypto on a new device.
3. Defense Against Hacks & Scams
A recovery phrase is like a master key—if someone else gets it, they can steal all your funds. Never store it digitally (e.g., in emails, cloud storage, or screenshots) to prevent hacks.
4. No Customer Support Can Help
Crypto wallets operate on self-custody—no customer support can reset or recover your funds. If you lose your phrase, your assets are gone forever.
Final Thoughts
This development highlights the growing sophistication of phishing scams targeting crypto users, emphasizing the urgent need for vigilance and security awareness in the community.
It effectively demonstrates how scammers exploit fear and urgency to trick users into compromising their funds, reinforcing why recovery phrases should never be shared under any circumstances.
Coinbase users—and all crypto holders—must double-check email sources, avoid clicking suspicious links, and store their recovery phrases securely offline to prevent falling victim to such attacks.
Also Read: Bitcoin Whales Shake the Market: Coinbase Trading Surges as Price Dips Below $89K!
