19.07.2025 18:13

A significant security breach at CoinDCX, a prominent Indian cryptocurrency exchange, resulted in a $44 million loss from an internal operational account. While this substantial sum was stolen, the company swiftly reassured its users that none of their personal funds were compromised.

The breach, attributed to a sophisticated server attack, targeted an operational account solely dedicated to maintaining liquidity through a partnership with another exchange, according to CEO Sumit Gupta. This targeted approach, isolating the compromised account and preventing access to customer wallets, ensured the complete safety of user assets. Gupta emphasized in an X post that CoinDCX absorbed the loss entirely from its internal reserves, maintaining uninterrupted service and preserving user funds.

Following the incident, CoinDCX initiated a comprehensive investigation, leveraging its internal security team and collaborating with top cybersecurity specialists. Their efforts focus on identifying the root cause of the breach, securing any vulnerabilities, and tracing the stolen funds. Furthermore, they are working closely with their partner exchange to freeze and recover the assets. Future preventative measures, including enhanced security infrastructure and the potential launch of a bug bounty program, are planned to mitigate the risk of similar incidents.

This recent breach underscores the ongoing cybersecurity challenges within the cryptocurrency industry. It follows a similar, albeit far larger, incident at WazirX, another major Indian exchange, which suffered a $235 million hack approximately one year prior. The recurrence of these attacks highlights the crucial need for robust security protocols and constant vigilance within the digital asset landscape. The incident serves as a stark reminder of the ever-evolving nature of cyber threats and the constant need for adaptation and innovation in security measures within the cryptocurrency sector.