Indian Crypto Exchange CoinDCX Denies Moving User Funds After WazirX Allegations

“Please don’t fall for misinformation,” Indian crypto trade CoinDCX’s Co-founder and CEO, Sumit Gupta, stated Saturday amid allegations that the trade moved consumer funds to non-compliant entities in Lithuania.

The allegation was reportedly made by one other Indian trade, WazirX, which has been beneath scrutiny since final yr’s $230 million hack.

In an affidavit filed as a part of the Singapore High Court proceedings (scheduled for a listening to on July 15, 2025), WazirX reportedly claimed that CoinDCX held consumer funds in a Lithuania-based entity that was not registered with India’s Financial Intelligence Unit (FIU) till February 2025.

Gupta denied these allegations in a message to CoinDesk, stressing that his India-based customers’ INR and crypto funds have at all times been held by Neblio Technologies, our FIU-IND registered entity, which is absolutely compliant with all Indian legal guidelines.

“For the record: CoinDCX did not have any entity in Lithuania until Feb 2025. We only engaged with third-party entities to explore potential global expansion. No business was ever conducted by CoinDCX (Neblio Technologies) in Lithuania, and no user funds were ever moved to or held by any Lithuania-based entity,” Gupta stated.

He added that the trade up to date its Terms of Use to make Neblio Technologies the formal contracting get together on Feb. 7 this yr, and the change was made to strengthen transparency and consumer belief.

“We did this proactively so that CoinDCX users never face challenges like those seen during the WazirX episode. This approach safeguards users’ interests, and we hope other Indian exchanges adopt the same standard,” Gupta stated, including that the trade “stays dedicated, as at all times, to consumer security, transparency, and regulatory compliance.