Cryptocurrency Exchange Acknowledges Error After Reports of Millions in Losses

Cryptocurrency exchange CoinDCX is under fire after researchers discovered suspicious money flows of nearly 16 million USDT. The exchange initially denied that its wallets had been hacked again but later acknowledged an error in securing deposits to old addresses. According to CoinDCX, the company is absorbing the loss itself and customer funds are safe.

In brief:

• Researchers observed nearly 16 million USDT and a smaller amount of TRX leaving addresses linked to CoinDCX.

• CoinDCX initially pointed to old addresses from a previous hack but later admitted that the automatic securing of deposits temporarily failed.

• The exchange claims to bear the loss itself and has fully credited affected customers. A new hack has not been independently confirmed.

Old Addresses Continued to Receive Funds

The first warning came from blockchain researcher Darcy. According to him, on October 21, nearly 16 million USDT left multiple crypto wallets linked to CoinDCX. USDT is a stablecoin that aims to maintain the value of the US dollar.

Darcy Asset Rescue⛑️
@DarcyAri
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On October 21 at 23:35:54 (UTC+8), approximately 15.99 million USDT and 5,783.81 TRX were allegedly stolen from CoinDCX's hot wallets and multiple deposit addresses, transferring about 15.99 million USDT and 5,783.81 TRX to the TRON address TAg6SZ1HhgVVjUaKY1paQoFBUS2JFrg5bT, with the largest single transaction being 15,819,002. Show more
5:30 AM · Oct 22, 2026
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The coins ended up at one address on the Tron network and were then distributed to other addresses. Part of it subsequently went to addresses at other cryptocurrency exchanges.

This money flow does not in itself prove that a new attack occurred. CoinDCX CEO Sumit Gupta wrote on X that the involved addresses were created in January 2025 and were compromised in the hack of July 2025. According to him, the current CoinDCX wallets were not hacked.

ZachXBT Questions the Explanation

Blockchain researcher ZachXBT disputed that explanation. He stated that at least one of the mentioned deposit addresses was still in use for about ten months. The address reportedly forwarded deposits to current CoinDCX wallets until April and May 2026.

ZachXBT
@zachxbt
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Replying to @CoinDCX

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

8:52 AM · Oct 22, 2026
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This raised questions about the suggestion that it was solely about old, unused addresses. According to ZachXBT, 15.8 million USDT in deposits was not properly accounted for.

CoinDCX Acknowledges Error in Processing Deposits

Later on Thursday, CoinDCX provided a more detailed statement to Moneycontrol. Some users continued to send money to old addresses, despite previous warnings, according to the exchange.

Normally, that money is automatically forwarded to secure wallets. According to CoinDCX, that process did not work for a period of time, resulting in an operational loss. The exchange did not confirm the exact size of that loss.

CoinDCX claims to bear the loss itself and has already credited all affected deposits to customer accounts. According to the company, customer funds are safe and are stored in separate, offline wallets. The active addresses would not have been affected.

The exact cause and extent of the incident have not yet been independently established. CoinDCX advises customers to check the latest receiving address in the official app or on the website for every deposit.

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