No Deal with Coinbase: CoinDCX Shuts Down Buyout Rumors After $44M Breach

It's been a difficult couple of weeks for CoinDCX, India's prominent cryptocurrency exchange. The platform has been shaken by an astonishing $44 million hack that eroded user confidence and sparked a maelstrom of speculation — among them rumor of a possible buyout by Coinbase.

But now, CoinDCX is setting the record straight.

The company has officially denied any acquisition talks with Coinbase and called the reports “unfounded.” Meanwhile, they’re scrambling to recover from the breach and reassure their community that the platform is still secure.

In this blog, we’ll break down:

• What actually happened in the $44M hack

• How the Coinbase buyout rumors started

• CoinDCX’s response and damage control

• What this means for Indian crypto users and the industry

  What to expect going forward The $44 Million Hack: So Far, What We Know

The mayhem broke out after CoinDCX suffered a security attack that reportedly resulted in losses of around $44 million. The hack is claimed to have been on hot wallets deployed for instant user transactions and withdrawals.

Key Facts:

• The hack occurred in mid-2025 but exact dates are yet to be known.

• Multiple tokens were siphoned out, with ETH, USDT, and MATIC being some of them

• On-chain audit reveals that it was a concerted attack instead of a random attack

• CoinDCX has not yet officially confirmed the precise attack vector

The assets stolen were quickly moved across multiple chains and wallets, so recovery is difficult. Some of the leading blockchain analysis firms like Chainalysis and PeckShield are assisting in tracking down the assets.

Instant Consequences: Trust and Speculation

Within hours of the hack hitting the news, panic broke out on Indian crypto Twitter and Telegram channels. The worst was feared by the community members — that CoinDCX might become insolvent or freeze withdrawals like happened during the FTX collapse.

And then came the surprise turn: rumors began flying that Coinbase was in talks to acquire CoinDCX.

Some unsupported reports suggested the U.S.-operated exchange was weighing stepping in, sanitizing the mess, and expanding its footprint in India by taking over CoinDCX's business.

This added fuel to already volatile waters, inciting panic among users and whispers across the crypto space.

CoinDCX Responds: "No Buyout, No Merger, No Talks"

To put out the raging fire, CoinDCX issued an official statement regarding both the hack and buyout speculation.

We wish to be explicitly clear: there are no current talks with Coinbase or anyone else for an acquisition or a merger. There is no foundation to the recent reports and speculation," said the company.

They also stated that:

• User balances are secure, and affected wallets have been suspended

• The team is cooperating with international cybersecurity specialists in a probe of the breach

• A compensation program is under way for those impacted users

• Business as usual at CoinDCX and a commitment to compliance with the regulator

This was followed by an AMA (Ask Me Anything) session in front of a live audience with co-founders Sumit Gupta and Neeraj Khandelwal, with whom they reaffirmed their long-term strategy and rejected the sale of the company.

Why the Coinbase Rumor Spurred So Quickly

Although. CoinDCX and Coinbase are not in any official acquisition deal. Here's why the rumor burst so suddenly.

1. Raghuram Rajan alleged:

Coinbase has been looking at India for decades. In spite of regulatory hurdles, it introduced its app in India in 2022 (postponed later), and it has invested in local Web3 startups through its Ventures platform.

Acquiring a significant exchange such as CoinDCX would provide Coinbase with an instant presence in a tough but high-growth market.

2. Past Investment History

Coinbase Ventures is also one of the early investors in CoinDCX. That in itself should raise eyebrows that there is more to it.

3. Crisis = Opportunity

Since the hack, there have been rumors that CoinDCX might be looking for a lifeline — and Coinbase will intervene, just as Binance intervened on behalf of WazirX (which later turned out to be a flawed partnership).

But at present, no such deal is in place, and CoinDCX appears to be moving towards a path of resurrection, not purchase.

What This Means for Indian Crypto Users

For everyday users who trade and invest on CoinDCX, the past fortnight has been nerve-wracking. This is the impact and what users need to look out for:

✅ Funds Are (Mostly) Safe

CoinDCX has assured that no user funds have been lost and that the affected people who had delays in withdrawals or bugs will be compensated.

Security Upgrade Coming

The firm will move more assets to cold wallets and adopt multi-signature architecture to prevent future exploits.

Short-Term Damage to Reputation

Even with transparency, CoinDCX's reputation has been battered. Competitors like CoinSwitch and international exchanges like Binance might see user inflows.

Building Regulatory Pressure

India's crypto authorities will likely be closely watching. This incident could prompt the government to increase compliance demands and perhaps more stringent enforcement on local exchanges.

A Wake-Up Call to the Indian Crypto Sector

The CoinDCX hack and subsequent chaos serve as a reminder of how susceptible trust in the crypto ecosystem is. And if one leading player fails, the entire system is at risk.

Lessons for the Industry:

• Security must be their first concern, especially when it comes to custodial wallets

• Transparency during a crisis earns loyalty — CoinDCX scored high on this aspect

• There are rumors being circulated faster than news, thus exchanges need to have straightforward communication strategies

• More regulation is needed so that Indian users do not have to rely on rumors and speculation

What's Next for CoinDCX?

CoinDCX still has a long way to go to rebuild confidence and solidify its position in the market. But they are not starting from scratch.

Strengths Working In Their Favor:

• Having one of the biggest user bases in Indian crypto exchanges

• Backed by top investors like Polychain Capital, Bain Capital, and Coinbase Ventures

• Heavy integrations with Indian banking systems and UPI for withdrawals/deposits

• Bidding to roll out staking, DeFi access, and learning modules

The company also said that it would extend insurance coverage to digital assets and instant reporting of proof-of-reserves, which would be gigantic strides towards regaining confidence.

Final Thoughts: No Quick Fix, But Not the End Either

It is easy to lose faith in crypto exchanges when news headlines are dominated by hacks, scams, and drama. But not all crises end in failure.

In its case, CoinDCX acted swiftly, communicated loudly, and closed down disinformation before it spiralled out of control.

While it's too early to determine if they'll bounce back in full, they've made their initial move towards a comeback — and for the majority of users, that's enough to give them a second chance.

No Coinbase transaction, at least for now, but a lesson: In crypto, trust is everything. And lost, as it often is, it will take more than blockchain to get it back.