Indian Crypto Exchange CoinDCX Refutes Claims of Unauthorized User Fund Transfers Amidst WazirX Allegations
### CoinDCX’s leadership Addresses Misinformation Regarding Fund Movement
On July 12, 2025, Sumit Gupta, Co-founder and CEO of the Indian cryptocurrency platform CoinDCX, addressed recent concerns about the supposed relocation of user assets to non-compliant parties in Lithuania. Amidst these claims circulated by a competing exchange, Gupta assured stakeholders that such reports were falsely attributed and urged the public to dismiss these allegations as misinformation.
#### Exploring the Controversy and its Origins
The assertions surfaced from another prominent Indian exchange-implicated in a severe security breach last year involving $230 million-which claimed during a legal proceeding with Singapore’s High Court that CoinDCX had diverted funds to a lithuanian company unregistered with India’s Financial intelligence Unit (FIU) up until February 2025. The court is set to deliberate further on this matter on July 15,2025.
#### Firm Response from CoinDCX
In response to these serious accusations,Gupta clearly stated there have been no breaches of trust or compliance on their part concerning handling customer funds.He clarified that all INR and cryptocurrency assets owned by Indian users are managed by Neblio Technologies-a fully compliant entity registered under FIU-IND. Moreover, he refuted claims regarding any associations with uncompliant entities in Lithuania stating firmly that neither business operations nor fund storage related to Lithuanian entities had occurred.
“CoinDCX has never established any kind of operational bases in Lithuania before February this year,” asserted Gupta. From then on only exploratory discussions regarding global expansion were conducted through external partners without engaging in any business activities.
#### Enhancing Trust Through Openness
To improve transparency and bolster customer confidence following incidents like those involving WazirX’s hacking event last year, Gupta mentioned updates made earlier in February when Neblio Technologies was named officially as the contracting entity for all user-related interactions within their terms of service agreement.
“We proactively took these steps so our customers do not experience disruptions or uncertainties related to asset-management issues observed previously within industry peers,” explained Gupta.
By taking decisive actions well ahead of time including consistent registrations compliance and clear operational declarations-the CEO emphasized his ongoing commitment toward safeguarding user interests along with maintaining regulatory adherence at all times across CoinDCX operations.<|vq_13238|>
