CoindCX Hacked, Loses $44 Million

On Friday, India’s cryptocurrency exchange, CoindCX, experienced a significant security breach, resulting in a loss of $44 million.

The hack was carried out by violating one of CoindCX’s internal accounts connected to “liquidity regulations” through a server compromise.

Fortunately, user funds remained untouched, as stated by CoindCX CEO Sumit Gupta. He reassured that all customer assets are secure, explaining:

“The incident was contained promptly by isolating the affected operating accounts. Since these accounts are separate from customer wallets, exposure is limited to this particular account, which has been completely absorbed by our Treasury Department.”

Interestingly, the attacker’s address had just one ether (ETH) sourced from Tornado Cash, and a portion of the stolen funds was later bridged from Solana to Ethereum.

CoindCX did not provide a comment by the time of publication when approached for insights.

Analyst Infinity Hedge pointed out that a year ago, on the same date, another well-known Indian exchange, WazirX, was hacked for $235 million. This incident underscores the ongoing cybersecurity challenges the crypto sector faces.

Recent Hacks in the Cryptocurrency Space

Additionally, the Iranian exchange Nobitex was breached for $100 million on June 18, allegedly by a politically motivated hacker group named “Gonjeshke Darande.”

After their initial hack, the group leaked Nobitex’s source code, revealing information about other users on the platform.

Further back in July, the GMX V1 exchange, part of the GMX protocol on the Arbitrum Blockchain network, fell victim to hackers who took $40 million. Interestingly, the stolen funds were returned a few days later, along with a $5 million white-hat reward.

In another incident, the DeFi platform Arcadia Finance faced a $3.5 million exploit from threat actors targeting a smart contract.