Major Security Breach Hits Indian Crypto Platform CoinDCX, Resulting in $44 Million Loss

A significant cyber attack has been reported by Indian cryptocurrency exchange CoinDCX, with losses amounting to $44 million. The breach occurred on Friday when hackers successfully compromised an internal account used for liquidity operations with a partner exchange. CoinDCX's co-founder and CEO, Sumit Gupta, revealed the details of the breach on Saturday, characterizing it as a sophisticated server breach. This announcement followed the initial disclosure by blockchain investigator ZachXBT on his Telegram channel. Fortunately, customer assets remain unaffected, stored securely in cold wallets. According to Gupta, the incident was swiftly contained by isolating the affected account, and since operational accounts are separate from customer wallets, the impact is limited to this specific account, with the loss being absorbed by the company's treasury reserves. ZachXBT's investigation showed that the attacker's wallet was initially funded through the crypto mixing service Tornado Cash, with part of the stolen cryptocurrency later transferred from Solana to Ethereum. CoinDCX is currently collaborating with cybersecurity experts to investigate the breach and working with exchange partners to recover and freeze assets. The timing of this incident bears an unsettling resemblance to the hacking of another Indian exchange, WazirX, which was breached for $235 million exactly one year ago.