Indian cryptocurrency exchange CoinDCX, which was hacked over the weekend by fraudsters who drained out $44 million from an internal operational account, has reiterated that all the assets of customers are safe and all the requests for rupee withdrawals would be processed by midnight on Monday.
The company officials have also stated that the exchange remains well capitalised and will not face any operational issues, despite the hack.
Over the weekend, there had been a security breach at CoinDCX, where one of its internal operational accounts used for liquidity provisioning on a partner exchange was compromised. The exchange firm lost $44 million in the cyber attack.
There was no impact, however, on customers' assets as they are held in segregated cold wallets, protected by multi-layer custody and offline security controls, officials said.
However, since the hack, there have been lot of requests from worried customers to withdraw their money.
Although officials urged customers to continue trading and investing normally as their assets were safe, they also assured customers that all their withdrawal requests were being processed.
"All the smaller withdrawal requests were immediately processed. For the larger requests, we had kept a 72-hour window. Those will also be honoured. All withdrawal requests, whether small or large, will be fulfilled by midnight tonight," Sumit Gupta, the co-founder and CEO of CoinDCX said on Monday evening.
Company officials organised a YouTube Live session to answer queries and address concerns that customers had following the hack.
"On an annualised basis, we do more than ₹1,100 crore of revenue. Our balance sheet, treasury continues to be extremely healthy even since this incident happened. The treasury is more than enough to continue to run the business," said Rohit Jain, MD, CoinDCX Ventures.
CoinDCX has roped in external cyber security and forensic experts following the hack, and is also working with blockchain forensics firms to trace the attacker and recover the assets.
There are some organisations that help recover funds and the exchange is working with them, informed Neeraj Khandelwal, the co-founder of CoinDCX.
A team of six people is continuously working on tracking and tracing the funds.
"We are working with the community to focus on recovery. The company is not dependent on the recovery and will continue to function whether the recovery happens or not," Khandelwal stressed.
Out of whatever funds the exchange may eventually recover, it will provide 25 per cent for the community—essentially those who provide information or help locate the funds—as a part of its bounty programme.
