CoinDCX is facing intense scrutiny after admitting that nearly 16 million USDT was siphoned from its systems, marking a sharp reversal from previous claims by company leadership. The admission comes just days after CEO Sumit Gupta took to social media to dismiss reports of a security compromise, suggesting at the time that the rumors of theft were merely a false alarm.

The loss stems from a breach occurring in July 2025, specifically targeting digital wallets that the exchange had already marked for retirement. According to the firm, the vulnerability persisted because several users continued to send deposits to these outdated addresses. An automated recovery system intended to secure those funds failed, allowing attackers to intercept approximately 15.99 million USDT.

This sudden pivot from denial to confirmation has raised questions about the transparency of the platform’s internal auditing processes during a crisis. While the exchange has now acknowledged the scale of the theft, investors are left wondering why initial warnings were brushed aside while millions in assets remained vulnerable in deprecated accounts.