Coinbase Gains Approval for $2.45B Stake in CoinDCX to Expand in India

TLDR

• Coinbase receives regulatory approval for $2.45B stake in CoinDCX.
• The partnership builds on Coinbase’s earlier investment in CoinDCX from 2020.
• CoinDCX is India’s largest digital asset platform with over 20 million users.
• Coinbase’s return to India includes plans to integrate rupee deposits by 2026.

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Coinbase has officially received regulatory approval from India’s Competition Commission for a $2.45 billion minority stake in CoinDCX, one of India’s largest cryptocurrency exchanges. This move marks a significant step in Coinbase’s efforts to expand its presence in one of Asia’s fastest-growing digital asset markets. The approval follows months of review and strengthens Coinbase’s commitment to CoinDCX, which serves millions of users across India and the UAE.

Strengthening Coinbase’s Position in India

This investment builds upon Coinbase’s initial backing of CoinDCX in 2020 and is set to further solidify the relationship between the two companies. Paul Grewal, Coinbase’s Chief Legal Officer, referred to the approval as an “important regulatory milestone.” He emphasized that this step reflects Coinbase’s long-term commitment to CoinDCX, which now manages over $1.2 billion in assets for more than 20.4 million users.

The acquisition also enables Coinbase to deepen its strategic position in India, a key market for crypto growth despite challenges. With the approval, Coinbase is well-poised to benefit from India’s increasing adoption of cryptocurrency and Web3 technologies.

Recovery After Security Breach

The timing of the approval follows a period of recovery for CoinDCX after the exchange experienced a significant security breach in July 2025. During the hack, $44 million was stolen from an internal liquidity account, allegedly linked to North Korea’s Lazarus Group. The breach was executed in a swift five-minute span across seven rapid transactions. While the hack raised concerns, CoinDCX reassured its users that customer funds were not compromised during the incident.

CoinDCX launched a recovery bounty program to retrieve stolen assets, offering up to 25% of any recovered funds, potentially worth $11 million. Despite the breach, Coinbase expressed confidence in CoinDCX’s ability to respond to security challenges and reaffirmed its support for the platform.

Expanding in Key Growth Markets

This partnership also extends Coinbase’s reach into the broader Middle East region. CoinDCX’s acquisition of Dubai-based BitOasis last year positioned it as a key player in the Middle East’s crypto scene, complementing Coinbase’s overall strategy. According to Coinbase, the Middle East and India are regarded as “top regions for crypto growth,” given their high adoption rates, regulatory support, and economic potential.

The capital from this investment will be used to accelerate new product launches within the Web3 ecosystem and enhance CoinDCX’s security infrastructure. Sumit Gupta, CoinDCX’s CEO, emphasized that the investment is not only financial support but also a “deep vote of confidence” in the company’s vision and team.

Coinbase’s Strategic Return to India

Coinbase’s approval to acquire a stake in CoinDCX comes at a time when the company has reentered the Indian market after a two-year hiatus. Coinbase suspended its operations in India in 2023 due to regulatory hurdles, including restrictions from payment processors.

 However, with the new regulatory approval, Coinbase has resumed offering crypto-to-crypto trading and plans to integrate the Indian rupee (INR) deposits by 2026. This move positions Coinbase to gain a stronger foothold in the Indian market, which is home to billions of dollars in digital assets, despite the government’s restrictive tax policies.

John O’Loghlen, Coinbase’s Asia-Pacific director, noted that while suspending services was a challenge, it allowed the company to reset and align with local regulations. The return to India is part of Coinbase’s broader strategy to expand its services globally while complying with evolving regulations.

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