Key takeout
CoindCX suffered a loss after a hacker violated an internal operating wallet. According to the team, client funds remain unaffected, and exchanges are working to recover stolen assets and enhance security.
Please share this article
CoindCX, one of India’s biggest crypto exchanges, reported on Saturday that one of its internal wallets had compromised.
The report came shortly after on-chain investigator ZACHXBT and blockchain security company Cyvers Alerts identified suspicious fund movements that occurred about 17 hours before the exchange’s announcement.
“Today, one of our internal operational accounts is only used for liquidity provisioning in partner exchanges — was undermined by a sophisticated server violation,” CoindCX CEO Sumit Gupta said in a statement.
Gupta has ensured that the client’s funds remain secure in cold wallet storage and that all trading activities and Indian rupee withdrawals continue to operate normally. The exchange will absorb losses through the Ministry of Finance reserves and do not affect user balances.
The company has registered cybersecurity partners to investigate violations, address vulnerabilities and track funding movements. CoindCX is also working with Exchange partners to block and recover stolen assets, and plans to implement a bug bounty program.
Around this time last year, India’s other major crypto exchange, Wazirx, was hacked for over $200 million, with the violation traced to North Korea’s Lazarus group, linked to a compromised multi-sig wallet.
Please share this article
