Following a major $44 million security breach, CoinDCX CEO Sumit Gupta has taken to social media to reassure users and outline how the exchange is responding.
Gupta confirmed that the loss came from a compromised account tied to liquidity provisioning, but emphasized that no customer funds were affected.
Calling the exploit a “sophisticated server breach,” Gupta pledged that CoinDCX would fully absorb the losses using its own treasury reserves. He also stated that the team is now working with the affected partner exchange to freeze and recover stolen assets and plans to launch a bug bounty initiative to prevent similar incidents in the future.
“Our customer wallets remain untouched and fully secure,” Gupta wrote on X, just minutes after blockchain analyst ZachXBT flagged the hack. Gupta also reiterated the exchange’s commitment to transparency and user protection, citing the platform’s internal safeguards and regular proof-of-reserve reports.
Despite previous assurances, the incident has reignited criticism over CoinDCX’s withdrawal restrictions, which require enhanced internal checks before users are allowed to move funds off the platform. Gupta defended the policy earlier this year, claiming it was a necessary step to prevent illicit fund movement.
CoinDCX, which boasts nearly 20 million users and over $584 million in total holdings, has so far maintained that its core infrastructure remains intact. However, the breach has added pressure on the company to deliver on its promises of enhanced security and operational transparency.
Alexander Zdravkov
Reporter at Coindoo
Alexander Zdravkov is a person who always looks for the logic behind things. He is fluent in German and has more than 3 years of experience in the crypto space, where he skillfully identifies new trends in the world of digital currencies. Whether providing in-depth analysis or daily reports on all topics, his deep understanding and enthusiasm for what he does make him a valuable member of the team.
Source: https://coindoo.com/coindcx-ceo-vows-full-compensation-after-44m-hack/