CoinDCX has denied allegations of a new security breach after blockchain investigators flagged approximately $16 million in Tether (USDT) transfers from wallets associated with the Indian cry
CoinDCX has denied allegations of a new security breach after blockchain investigators flagged approximately $16 million in Tether (USDT) transfers from wallets associated with the Indian cryptocurrency exchange. The dispute centres on whether the transactions involve compromised wallets left over from a July 2025 hack or indicate a more recent security failure.
Users’ funds are safe.
Claims circulating on X regarding certain wallet addresses and transactions are misleading.
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.
Trading & investing continue as usual.
For updates, trust only official CoinDCX channels. For any queries, reach out to @CoinDCX_Cares
— CoinDCX (@CoinDCX) October 22, 2026
CoinDCX co-founder and CEO Sumit Gupta said the flagged addresses were generated in January 2025 and compromised during the earlier attack, which cost the company approximately $44.2 million. He maintains that the wallets are no longer part of the exchange’s active infrastructure and that the latest transfers show hackers reusing previously compromised addresses.
However, blockchain investigator ZachXBT challenged that explanation, pointing to transaction records suggesting that a disputed TRON deposit address remained active after the original breach. CoinDCX says it is investigating the latest activity and maintains that customer assets and company funds remain secure.
CoinDCX deposit address TQKJQ was in use by a LP for 10 months after your July 2025 incident and swept user deposits + received gas as recent as April & May 2026 to your current public hot wallet.
Meaning $15.8M in user deposits was unaccounted for by your team.
Why are Indian CEXs so untrustworthy?
WazirX BitBNS Now CoinDCX
— ZachXBT (@zachxbt) October 22, 2026
According to ZachXBT, the TRON address identified as TQKJQ remained in use by a liquidity provider for approximately 10 months after the hack. If verified, this timeline could challenge the exchange’s assertion that the addresses were no longer active.
However, transactions involving an exchange-linked wallet do not automatically establish a new breach. Investigators must determine whether the activity was authorized, who controlled the address, and whether the funds were properly accounted for.
X user Max highlighted the unresolved question of who controlled the funds, comparing the alleged reuse of old wallet addresses to a repeat robbery using the same getaway car.
hackers re-using the old wallet addresses is actually insane. same getaway car, second robbery. zachs counting 15.8M through it, youre saying january 2025 leftovers, and im just sitting here down bad on alts watching two guys argue about whose eight figures these are. not taking sides. placing bets though, whos got odds
— Max (@MaxOnFumes) October 22, 2026
Read also: CoinDCX Launches ₹100 Crore Cybersecurity Push After Fake Platform Fraud Case
Even if CoinDCX’s explanation proves correct, unresolved allegations can affect customer decisions. Users may hesitate to deposit funds or withdraw existing holdings while questions about wallet security remain unanswered.
Cryptoviku said the allegations had weakened his confidence in CoinDCX and made him reconsider depositing funds with the exchange. His concern illustrates how security uncertainty can damage customer trust before investigators establish whether a new breach occurred.
@CoinDCX Bro, I am planning to deposit my funds into CoinDCX, but now I am afraid. although no exchange is safe, I still had some hope in this one, but now I am questioning my trust in Indian exchanges.
— CryptoViku (@k0x0i) October 22, 2026
Manideep extended the criticism to India’s centralized exchanges, warning that users could face frozen funds, insufficient liquidity to trade major cryptocurrencies such as Bitcoin and Ethereum, and the effects of government policies. His comments increase the frustration with India’s crypto trading environment, with the CoinDCX controversy adding to concerns about the security and reliability of local exchanges.
CoinDCX deposit address TQKJQ was in use by a LP for 10 months after your July 2025 incident and swept user deposits + received gas as recent as April & May 2026 to your current public hot wallet.
Meaning $15.8M in user deposits was unaccounted for by your team.
Why are Indian CEXs so untrustworthy?
WazirX BitBNS Now CoinDCX
— ZachXBT (@zachxbt) October 22, 2026
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The post CoinDCX Denies New $16M USDT Hack Allegations appeared first on DeFi Planet.
