A major crypto exchange in India has confirmed a big cash loss. On October 25, 2026, CoinDCX admitted that thieves stole sixteen million dollars. The money was taken from old deposit wallets. The exchange
had stopped using these wallets. This came after an earlier cyber attack. The admission came days after the company boss called the theft a false alarm.
The trouble started early in the week. On Tuesday, on-chain watchers spotted strange moves. A security watcher named Darcy was the first to sound the alarm. Darcy runs an asset rescue firm called FlashRescue. Darcy noticed that sixteen million Tether tokens left CoinDCX wallets. The tokens were sent to a single computer wallet. The wallet was on the Tron network.
Soon after, CoinDCX chief executive Sumit Gupta replied on social media. He told worried users not to panic. He stated that the reports were wrong. Gupta said the company wallets were not breached. He claimed that hackers were merely moving old tokens. He said those coins were tied to a July 2025 attack. He called the whole event a false alarm. CoinDCX posted a similar denial a few minutes later.
However, a famous on-chain sleuth named ZachXBT challenged that story. He showed public blockchain proof. He pointed out that one of the addresses was active for months. He noted that user funds moved through that address as recently as May 2026. ZachXBT said nearly sixteen million dollars in customer deposits was missing. He warned crypto users to pull their funds from the exchange. He told them to do
it right away. He said the firm failed to track user cash properly.
Under public pressure, CoinDCX launched a deeper review. On Sunday morning, the exchange posted an official note. The company changed its tune. CoinDCX admitted that thieves took 15.99 million Tether tokens from old wallets. The company explained that an automated tool had stopped running. This tool was supposed to sweep user deposits into safe cold storage. Because the tool failed, customer deposits piled up in old addresses.
Hackers found those old addresses and drained the funds. Once the thieves took the cash, they split the tokens. They routed the funds to several large global trading platforms. The money moved through Binance, OKX, and Gate. ZachXBT said he helped freeze a six-figure sum of the stolen coins. But most of the cash was already gone.
CoinDCX assured customers that their personal balances remain safe. The exchange said all active customer funds sit in offline cold storage. These cold wallets use multiple layers of safety. CoinDCX also promised to cover the entire sixteen million dollar loss. The company will use its own treasury funds to pay for the shortfall. Regular trading and cash withdrawals continue to run normally.
This theft adds to past security troubles for CoinDCX. In July 2025, the exchange lost forty-four million dollars in a big server breach. Police later found that hackers tricked an engineer into downloading bad software. In early 2026, local police questioned company founders over scam reports tied to fake websites.
CoinDCX is one of the largest digital asset platforms in India. Last year, American crypto firm Coinbase invested in CoinDCX. The deal valued the Indian firm at nearly 2.5 billion dollars. The exchange serves millions of users across the country. Many local traders rely on the platform for daily trades.
CoinDCX is one of the largest digital asset platforms in India. Last year, American crypto firm Coinbase invested in CoinDCX. The deal valued the Indian firm at nearly 2.5 billion dollars. The exchange serves millions of users across the country. Many local traders rely on the platform for daily trades.