India's largest exchange denies hack after sleuths pointed to $16 million in suspicious outflows
Indian crypto exchange CoinDCX has denied a new security breach after on-chain investigators flagged $16 million in suspicious outflows from addresses previously compromised in 2025. While the exchange claims these addresses were deprecated and the activity is the work of past hackers, investigators argue that the exchange continued to use these addresses for user deposits well after the initial incident.
Why it matters
The dispute highlights significant risks regarding wallet security and operational transparency in centralized crypto exchanges, particularly concerning how firms manage 'deprecated' infrastructure and user funds.
“The transactions mentioned in recent claims involve old wallet addresses created in January 2025. These addresses were compromised in July 2025 and have not been used by CoinDCX since. The activity now being reported relates to these old addresses and does not have any connection with CoinDCX,” the exchange’s spokesperson told CoinDesk. “Current CoinDCX central and user addresses have not been impacted, and no CoinDCX funds from active wallets have been compromised.”
It started when an X user named Darcy highlighted a large outflow from CoinDCX's hot wallet and several of its deposit addresses on Wednesday. It totaled about $16 million in USDT, a dollar-pegged stablecoin, and Tron’x TRX token.
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