CoinDCX logo on a website with blurry stock market developments in the background, seen on a computer screen through a magnifying glass. Source: Dennis - stock.adobe.com

Key Takeaways:

CoinDCX suffered a $44 million theft from an internal account in a server breach, with user funds reportedly unaffected.
The stolen funds were traced from Solana to Ethereum, initially funded via Tornado Cash, prompting forensic and legal action.
CoinDCX plans enhanced security measures, including a bug bounty program, amid rising regulatory scrutiny and industry pressure.

Indian cryptocurrency exchange CoinDCX confirmed that a “sophisticated server breach” led to the theft of approximately $44 million from one of its internal liquidity provisioning accounts on July 19, 2025.

CEO Sumit Gupta emphasized that this breach did not affect any customer assets, as all user funds remain isolated in secure cold wallets and intact.

CoinDCX CEO Sumit Gupta shares update on July 19 breach, assuring users that funds are safe, losses are covered by reserves, and a detailed investigation is underway. — Source: *@Sumit Gupta (CoinDCX)*

The incident was detected early, prompting CoinDCX to temporarily suspend Web3 trading and INR withdrawals, but the platform has since resumed full operations and restored portfolio APIs.

Blockchain investigator ZachXBT traced the stolen funds – initially funded via Tornado Cash – from Solana to Ethereum.

In response, CoinDCX has enlisted cybersecurity experts, engaged global blockchain forensics teams, and notified law enforcement and CERT-In.

Crypto Platform CoinDCX Hacked, Nearly Rs 368 Crore Lost In Huge Security Breachhttps://t.co/vlWPGMMeZ8

NDTV Profit's Agnidev Bhattacharya shares more details pic.twitter.com/KkmR4AgL4I
— NDTV (@ndtv) July 20, 2025

The exchange also announced plans for a bug bounty program and enhanced security protocols to prevent future breaches.

The hack underscores persistent cybersecurity threats to centralized crypto platforms, coming exactly one year after the $235 million WazirX breach.

This incident has reignited calls for stronger regulatory oversight in India’s evolving crypto landscape as exchanges face growing pressure to bolster defenses against increasingly advanced attacks.

About The Author

Written by

Adam Morris

Co-Founder / Managing Editor

Adam Morris, the co-founder of Crypto Head and a respected crypto expert, offers insightful commentary and analysis on cryptocurrency, NFTs, and the evolving digital landscape.

His extensive experience and features in top-tier publications like Forbes and CNN underscore his deep understanding of the crypto world and its future potential.

Check Adam out on: