Indian Court Clears CoinDCX Founders in ₹71 Lakh Crypto Scam Case

TLDR

• Court clears CoinDCX founders, points to impersonation fraud scheme
• No evidence found as fake platform drove ₹71 lakh crypto scam case
• CoinDCX founders released as court cites third-party impersonation
• Thane ruling highlights rising phishing risks in India crypto space
• Bail granted after court finds no link to CoinDCX fraud claims

Indian authorities have released CoinDCX co-founders after a Thane court dismissed a ₹71 lakh crypto fraud complaint. The ruling found no initial evidence linking the CoinDCX co-founders to the alleged scam. Consequently, the decision shifts attention toward impersonation risks across India’s crypto sector.

Court Finds No Evidence Against CoinDCX Co-Founders

A magistrate court in Thane granted bail to the CoinDCX co-founders after reviewing available evidence. The court stated that no prima facie case existed against the CoinDCX co-founders. Authorities allowed their release following a short detention period.

The investigation officer did not object to granting bail to the CoinDCX co-founders. Additionally, records showed the CoinDCX co-founders were not present at the alleged crime location. The complaint weakened due to lack of direct involvement.

The informant admitted that another individual carried out the fraudulent activity. The court noted that the accused impersonated the CoinDCX co-founders during the transaction. The case shifted toward third-party fraud rather than company-linked wrongdoing.

Fake Platform and Impersonation Scheme

Authorities linked the fraud to a lookalike platform that mimicked the CoinDCX brand identity. The CoinDCX co-founders had no connection to the fraudulent domain used in the scheme. The incident highlights risks tied to phishing and cloned websites.

The complainant later confirmed that another accused repaid the stolen funds. The informant clarified that the CoinDCX co-founders were not present during the meeting. This clarification further distanced the CoinDCX co-founders from the alleged crime.

Law enforcement identified impersonation as the central method behind the fraud operation. The court acknowledged that another individual misrepresented himself as linked to the CoinDCX co-founders. As a result, legal focus moved away from the exchange leadership.

Bail Conditions and Industry Context

The court granted bail under a ₹50,000 bond for each of the CoinDCX co-founders. Authorities required the CoinDCX co-founders to cooperate fully with ongoing investigations. Therefore, the case remains open while proceedings continue.

The court noted that the matter had reached an amicable settlement between involved parties. Consequently, the risk of evidence tampering by the CoinDCX co-founders appeared minimal. This finding supported the decision to release them under standard conditions.

CoinDCX has faced prior scrutiny following a 2025 security incident involving internal account breaches. However, the company confirmed that customer funds remained secure during that event. Meanwhile, the latest case underscores growing phishing threats targeting crypto platforms in India.

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