CoinDCX Says Failed Deposit Sweep Caused Operational Losses

CoinDCX disclosed that it absorbed losses after a process for recovering crypto sent to deactivated addresses stopped working; ZachXBT’s $15.8 million missing-deposit allegation remains unresolved.

CoinDCX said Oct. 22 that some users kept sending crypto to addresses retired after its July 2025 security incident. A routine process for sweeping those deposits failed for an unspecified period, and the exchange absorbed the resulting losses. It did not disclose the loss amount or the number of affected users.

CoinDCX said affected deposit wallets were credited, current wallets were unaffected and customer assets remained in segregated cold wallets. The exchange had previously said it stopped using the old addresses in July 2025; its new disclosure did not explain how the failed sweep fit with that statement.

ZachXBT alleged that an address beginning TQKJQ remained in use by a liquidity provider for 10 months after the incident and that $15.8 million in user deposits was unaccounted for. On Oct. 21, 15,819,002 USDT moved from that address to another wallet at 11:35:54 a.m. ET (15:35:54 UTC). The transfer alone does not establish who controlled either wallet or whether customers lost funds.