🔐 Indian Crypto Exchange CoinDCX Hit by $44 Million Hack, User Funds Declared Safe
Bengaluru, India – July 19, 2025
India’s leading cryptocurrency exchange CoinDCX has confirmed a sophisticated security breach resulting in the loss of approximately $44 million (INR 380 crore) from one of its internal accounts. Crucially, the company assured that no customer funds were compromised, as they remain segregated and securely stored in cold wallets.
📅 Timeline of the Attack
- July 18, 2025 (Friday): The breach occurred, targeting an internal liquidity provisioning account.
- July 19, 2025 (Saturday): On-chain sleuths, including ZachXBT, flagged suspicious wallet activity, prompting public attention. CoinDCX publicly acknowledged the breach the same day.
🕵️ What Was Hacked?
The compromised account was used for liquidity provisioning on a partner exchange. According to CoinDCX CEO Sumit Gupta, this account was internal-only and not linked to user wallets. Once detected, the account was immediately isolated to prevent further loss.
“No customer funds have been impacted. Your assets remain completely safe and protected in our secure cold wallet infrastructure,” Gupta said in a public statement.
🧠 How the Hack Happened
- The attacker’s wallet was initially funded with 1 ETH via Tornado Cash, a well-known crypto mixer.
- A portion of the stolen funds was later bridged from Solana to Ethereum, according to blockchain analytics.
CoinDCX is collaborating with its partner exchange and cybersecurity experts to investigate the root cause, trace the stolen funds, and patch system vulnerabilities.
💼 Company’s Response & Next Steps
- $44M loss to be absorbed entirely by CoinDCX’s treasury.
- Partnering with cybersecurity firms to track the attacker’s movement and recover funds.
- Launching a bug bounty program to encourage ethical hacking and platform hardening.
- Web3 trading temporarily suspended, but regular trading and INR withdrawals are fully functional.
⚠️ Not the First: Indian Crypto Scene Under Fire Again
This is the second major Indian crypto hack in just 12 months. In July 2024, rival exchange WazirX suffered a staggering $235 million hack. The repeat attacks underline a worrying trend and highlight the urgent need for robust crypto cybersecurity standards in emerging markets like India.