CoinDCX Faces Withdrawal Calls After $16 Million Loss Dispute
Blockchain investigator ZachXBT called on CoinDCX users to withdraw their funds amid a dispute over a reported $16 million operational loss. The exchange initially disputed a wallet breach, then acknowledged that a failed sweeping process caused losses while saying customer funds were safe. ZachXBT challenged the exchange's explanation and criticized its founders.
Blockchain sleuth ZachXBT pressed CoinDCX users to pull their assets after the exchange’s account of a $16 million loss shifted. CoinDCX first rejected the idea that wallets had been compromised, with a co-founder telling users not to circulate rumors, according to Coin Bureau.
Later, CoinDCX said a failed sweeping operation tied to affected addresses produced operational losses. It said it covered the shortfall and that customer balances were safe. ZachXBT disputed the earlier explanation, saying an address CoinDCX called old was still routing deposits to its active hot wallet in May 2026. The dispute follows a reported $44 million hack in July 2025.
The dispute may affect retail crypto users most directly, since withdrawal calls can turn a platform-specific concern into a broader test of confidence. If customers act on such warnings, CoinDCX could face liquidity pressure and reputational damage, while Indian traders may become more cautious about leaving assets on centralized exchanges. The episode may also encourage users to demand clearer incident disclosures and stronger proof that customer funds are safe.