WazirX accused CoinDCX of improperly transferring person belongings to Lithuania-based non-compliant entities, probably violating Indian laws. The allegations counsel funds had been moved with out sufficient KYC/AML safeguards, exposing customers to counterparty dangers. This emerged amid India’s ongoing regulatory uncertainty, the place exchanges face intense scrutiny over fund dealing with practices.
CoinDCX CEO Sumit Gupta categorically denied the claims, asserting full compliance with all monetary laws. The alternate maintains that each one person funds stay securely custodied inside authorized frameworks. This incident highlights the aggressive tensions in India’s crypto panorama as exchanges jockey for place throughout regulatory limbo.
The general public denial could quickly reassure customers however underscores systemic vulnerabilities in rising markets’ crypto infrastructure. With out clear regulatory steering, such allegations might speed up person migration to international platforms. Decision relies on clear third-party audits to confirm fund flows and custody preparations.
This text is for informational functions solely and doesn’t represent monetary recommendation. Please conduct your personal analysis earlier than making any funding choices.
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Editor-in-Chief / Coin Push Dean is a crypto fanatic based mostly in Amsterdam, the place he follows each twist and switch on the earth of cryptocurrencies and Web3.