CoinDCX Loses $44.2M in Suspected Hack, Attacker Traced from Just 1 ETH

CoinDCX, one of India’s biggest crypto exchanges, has reportedly lost around $44.2 million in a suspected hack about 17 hours ago. The attacker is said to have started with just 1 ETH from Tornado Cash and later moved some of the stolen funds from Solana to Ethereum.

Users note that CoinDCX has also taken down some trading pairs, canceled spot orders, and their Web3 wallet isn’t working either, leaving them with a lot of questions.

Sumit Gupta, the co-founder and CEO of CoinDCX, shared in a recent X post that the platform suffered a security breach affecting one of its internal operational accounts used for liquidity on a partner exchange. He assured users that no customer funds were impacted, and all user assets remain safe in cold wallets.

The issue was caused by a server compromise, but was quickly contained by isolating the affected internal account. Since this account is separate from customer wallets, the impact was limited. He also shared that trading and INR withdrawals continue to function normally, and losses are being fully absorbed by CoinDCX’s own treasury.

Sumit said their team is working with cybersecurity experts to fix the issue, recover funds, and launch a bug bounty program to improve security. He promised to keep the community updated and stressed the importance of staying transparent during incidents like this.

While some praised the team for being transparent and stepping up with clear communication, others noted the delayed response as the official statement came only after ZachXBT brought the incident to light.