20.07.2025 19:42
A significant security breach at CoinDCX, one of India's leading cryptocurrency exchanges, resulted in the theft of approximately $44.2 million. The incident, initially uncovered by the cybersecurity firm Cyvers through its monitoring of blockchain transactions, wasn't publicly disclosed by CoinDCX itself. This delay sparked concern among users and observers alike.
The sophisticated attack involved the exploitation of a server vulnerability, leading to the compromise of an internal operational account, as confirmed by CoinDCX CEO Sumit Gupta via social media. Importantly, Gupta stressed that customer funds remained untouched and unaffected by the breach, assuring users that trading and withdrawals continued without interruption. He further emphasized the company’s ongoing, intensive investigation, aided by external cybersecurity experts, to recover the stolen assets and reinforce its security protocols.
The perpetrators cleverly employed Tornado Cash, a cryptocurrency mixing service known for its privacy features, to obfuscate the trail of stolen stablecoins. These funds were subsequently bridged from the Solana blockchain to the Ethereum blockchain, adding layers of complexity to the tracing efforts. CoinDCX, unlike other exchanges that have faced similar situations and implemented controversial partial compensation plans, has reportedly absorbed the entire $44.2 million loss.
To enhance future security and proactively mitigate potential vulnerabilities, CoinDCX announced plans to implement a bug bounty program. This initiative will incentivize ethical hackers to identify and report security flaws, helping to prevent future breaches. While the company’s swift action to secure customer funds and its proactive approach to incident response is commendable, some users have voiced their concerns and criticisms, the specifics of which remain undisclosed in this report. The investigation continues, with CoinDCX collaborating with other exchanges to monitor the stolen funds and potentially intercept any further transfers.
