CoinDCX Co-Founders Address Allegations, Outline Measures to Enhance Security Infrastructure

Thane Police Arrest CoinDCX Co-Founders in ₹71.6 Lakh Fraud Case

The Thane police arrested CoinDCX's two co-founders, Sumit Gupta and Neeraj Khandelwal, last week in connection with an alleged ₹71.6 lakh fraud case. On 24 March, the duo was granted bail by the Thane district court, which held that prima facie no case was made against them.

The police investigation is ongoing, and all efforts are being made to nab the four other accused. According to the police, the complainant, a 42-year-old insurance advisor from Mumbra, alleged he was defrauded of ₹71.6 lakh between August 2025 and March 2026 after being lured by promises of high returns by investing in a firm, purportedly associated with the cryptocurrency platform.

CoinDCX's co-founder, Sumit Gupta, took to social media to address the fraud, the arrest, and what happened next. Gupta explained that the fraud was carried out by impersonators through a fake website — http://coindcx.pro — and had "absolutely no connection" to their platform, systems, or CoinDCX. He stated that no money moved through CoinDCX, and no transaction occurred on their exchange.

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Gupta claimed that the complainant himself confirmed in court that he did not know them and had never met them. He added that CoinDCX will lead the change and announced the Digital Suraksha Network (D.S.N.), a ₹100 crore commitment from the company, which aims to build the cyber safety infrastructure that India's digital finance ecosystem needs but does not yet have.

CoinDCX plans to implement several measures to combat fraud, including:

• Building a 24x7 WhatsApp helpline: Free for everyone, not just CoinDCX users, to verify links, platforms, and offers before transacting.
• Open Fraud Intelligence API: CoinDCX has already documented 1,200+ fraudulent websites impersonating CoinDCX. The company is building an open API to share this intelligence in real-time and inviting every exchange, fintech, bank, and digital lender to contribute as a "shared immune system for India's digital finance ecosystem."
• Cyber Safety Infrastructure for Law Enforcement: The Digital Suraksha Network will fund training programs for state cybercrime cells on blockchain forensics and digital asset tracing.
• Caution Before Transaction: a nationwide initiative to give every Indian the tools to participate in digital finance safely.

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Gupta added that no single company can solve this problem, and the ecosystem cannot afford to wait. He is asking every platform, every regulator, and every Indian who participates in digital finance to join CoinDCX in fixing this problem from the root.