CoinDCX says expired-address fund sweeping failed and pledges to cover losses

CoinDCX, a crypto exchange in India, issued an update concerning activity on the blockchain involving the TQKJQ wallet. CoinDCX said some deposit addresses created before the July 2025 security incident were compromised and subsequently deactivated. CoinDCX said some users nevertheless continued sending crypto assets to those expired addresses.

CoinDCX said the exchange normally sweeps funds from those addresses periodically for accounting and safekeeping. CoinDCX said the sweeping process failed for a period, and the failure was discovered this morning. CoinDCX said the failure caused operational losses that the exchange will cover. CoinDCX said all affected users' accounts have been credited despite the deposits reaching expired addresses.

CoinDCX said user funds remain safe and customer assets remain in separate cold wallets. CoinDCX said the active addresses used by the exchange and users are unaffected. CoinDCX said funds belonging to the exchange in active wallets have not been compromised. CoinDCX and all trading activities are operating normally.

CoinDCX urged users to check the latest deposit addresses through the official app or website to avoid sending funds to deactivated addresses.