In a recent security incident, CoinDCX, one of India’s leading cryptocurrency exchanges, reported a compromise of one of its internal operational accounts used exclusively for liquidity provisioning on a partner exchange. The breach was the result of a sophisticated server attack where attacker used Tornado Cash and bridged funds from Solana to Ethereum.
Despite the severity of the incident, CoinDCX assured its community that all customer wallets and funds remain entirely untouched and secure.
- No Impact on Customer Funds: CoinDCX confirmed that customer assets, stored in highly secure cold wallets, are completely safe and unaffected by this breach.
- Separation of Funds: The compromised account was totally segregated from all customer funds, drastically limiting risk and exposure.
- Full Operations Maintained: All trading features, including INR withdrawals and deposits, are fully operational and remain uninterrupted.
The incident was swiftly contained by isolating the affected operational account. CoinDCX emphasized that losses from this event are being “fully absorbed” by its own treasury reserves, ensuring no customer is impacted in any way.
🚨 ALERT: India exchange CoinDCX may have lost ~$44.2M with no disclosure yet, per Zachxbt and Cyvers.
Attacker used Tornado Cash and bridged funds from Solana to Ethereum. pic.twitter.com/SIRhr2BxXd
— Cointelegraph (@Cointelegraph) July 19, 2025
In the aftermath, CoinDCX’s internal security and operations teams collaborated with top cybersecurity experts to:
– Launch a comprehensive investigation into the breach
– Patch any discovered vulnerabilities immediately
– Trace and attempt recovery of affected funds with partner exchanges
– Plan for a bug bounty program to further incentivize security research
CoinDCX views every security incident as a valuable learning opportunity. The exchange is doubling down on efforts to strengthen its platform and work alongside global cybersecurity experts. The company reaffirmed its commitment to real-time updates and full transparency for its user community.
The CoinDCX team understands that news of a security incident can be concerning. By openly sharing details, the company aims to reinforce trust and demonstrate its dedication to user protection.
What Should CoinDCX Users Do?
- No action is necessary: customer funds are safe and protected.
- Continue normal trading and withdrawal operations without concern.
Looking Ahead
CoinDCX continues to monitor the situation and promises to provide its users with timely updates as more information becomes available. Security enhancements and community engagement will remain top priorities as the company leads efforts to bolster safety across the crypto sector in India.
For the latest updates on CoinDCX security and industry best practices, stay tuned to official channels and community announcements.
