Indian cryptocurrency exchange CoinDCX has confirmed a significant security breach resulting in the loss of $44 million worth of digital assets from an internal operational account.
The “sophisticated server-side exploit,” which occurred early Saturday morning (July 19, 2025), went undetected for nearly 17 hours until flagged by on-chain sleuth ZachXBT. The attacker reportedly funded their wallet via Tornado Cash before bridging stolen funds from Solana to Ethereum.
CoinDCX CEO Sumit Gupta assured users that no customer funds were impacted, emphasizing that client asset storage wallets remained “completely safe and untouched.” The company will cover all losses from its treasury, is working with an exchange partner to recover assets, and plans to launch a bug bounty program.
The incident is reminiscent of last year’s WazirX hack, attributed to the North Korea-linked Lazarus Group, though no group has claimed responsibility for the CoinDCX exploit. CoinDCX, India’s first crypto unicorn, has faced prior criticism for restrictive withdrawal policies, despite touting robust security measures and a $7 million insurance fund.
The breach adds to a challenging year for crypto security, with over $2.2 billion lost to hacks and scams in the first half of 2025 alone, including major exploits like the Bybit and Cetus Protocol incidents.
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