CoinDCX Confirms Wallet Breach, Assures User Funds Safe

CoinDCX, one of India’s largest cryptocurrency exchanges, has confirmed that one of its internal wallets was compromised. This came hours after on-chain investigators flagged unusual activity. The company says customer funds are safe and operations remain unaffected. Investigators Raise Early Alarm Over Wallet Security Concerns about wallet security rose on Saturday after blockchain trackers ZachXBT and Cyvers noticed suspicious fund movements from CoinDCX. This activity happened nearly 17 hours before the exchange made its statement. CoinDCX later confirmed that one of its internal wallets had been breached. However, it was quickly pointed out that customer funds were not affected. The affected wallet was separate from user funds, which are kept in cold storage. The company states that all trading activities and rupee withdrawals are operating as usual. To manage the loss, CoinDCX will use its treasury funds. This means users will not bear any loss from the incident. In related news, Arcadia Finance, a DeFi platform on Coinbase’s Base blockchain, was exploited for around $2.5 million, adding to the wave of 2025 DeFi breaches. CoinDCX Begins Investigation, Brings in Security Experts In response, the company has engaged cybersecurity partners to investigate the cause of the breach. These teams will help trace the movement of funds, close any loopholes, and find out how the attacker gained access. The exchange is also working with its partner platforms to block and recover the stolen assets. In addition, CoinDCX says it will introduce a bug bounty programme. The plan is to invite independent security researchers to report vulnerabilities in exchange for a reward, thereby improving overall wallet security in the long term. Meanwhile, to protect the public from scammers, Shenzhen’s financial authorities have issued a fresh warning. They caution that some dishonest businesses are using popular terms like financial innovation and digital assets to deceive people. WazirX Breach Last Year Still Fresh in Industry Minds The timing of this breach has reminded many in the crypto space of what happened last year with WazirX, another top Indian exchange. Reports indicated that the attack led to a loss of over $200 million and was later linked to North Korea’s Lazarus Group. It is essential to add that earlier this year, North Korea’s Lazarus Group was also linked to the $1.4 billion Bybit hack . While the CoinDCX case is not as large, it has once again highlighted the risks associated with wallet security and the need for stronger protection systems in cryptocurrency exchanges. The post CoinDCX Confirms Wallet Breach, Assures User Funds Safe appeared first on TheCoinrise.com .

Source: The Coin Rise