Crypto Exchange Announces Major Recovery Effort Post-Breach
Indian crypto exchange CoinDCX has announced a high-stakes bounty program following a $44.2 million theft detected last week. In a swift response, the company is now offering up to 25% of the recovered funds — nearly $11 million — to those who help retrieve the stolen assets and identify the culprits.
The incident occurred on Saturday, when unauthorized access was detected in one of CoinDCX’s accounts on a partner exchange. The breach led to a significant outflow of funds, but the company confirmed that no customer assets were impacted.
The CoinDCX Recovery Bounty Program: A community-first approach
In a detailed statement issued Monday, CoinDCX launched the Recovery Bounty Program, calling upon ethical hackers, white-hat researchers, and Web3 security partners to support the recovery process.
According to the official release, up to 25% of successfully recovered crypto will be awarded to contributors who assist in:
- Retrieving the stolen funds
- Identifying those behind the attack
- Helping in their conviction
“If the entire stolen amount is recovered, the bounty pool could reach $11 million, making it one of the largest rewards ever offered in India’s crypto space,” the company added.
Previous Incidents Highlight Rising Threats
This incident follows a broader trend of crypto-related breaches in India. In October 2023, rival exchange WazirX suffered a $230 million breach, which raised concerns over security practices across the sector. Unlike the WazirX case, CoinDCX was quick to detect the unauthorized activity and has been transparent in its approach since.
You can read our detailed explainer on the CoinDCX breach and WazirX incident here:
👉 How was CoinDCX compromised? A $44 million loss and lessons from WazirX
Customer Funds Safe, Recovery Underway
Co-founders Sumit Gupta and Neeraj Khandelwal reassured users that CoinDCX is absorbing the full loss using its treasury reserves. Customer wallets and balances remain unaffected.
The company also stated it has enhanced its monitoring systems and is working with law enforcement and blockchain forensics firms to trace the stolen assets.
Web3 Stands United Against Cybercrime
CoinDCX’s quick response reflects a growing maturity in India’s crypto sector. By launching the bounty and encouraging ethical participation, the exchange aims to turn a breach into a collaborative effort for justice.
The incident also highlights the importance of community in building a resilient crypto ecosystem.
