CoinDCX has announced a ₹100 crore initiative called the Digital Suraksha Network (DSN) following a fraud incident involving a fake website impersonating its brand.
The exchange confirmed that founders Neeraj and another executive were briefly taken into police custody on March 21 in connection with a complaint tied to the impersonation scam, before being granted bail on March 24 by a Thane court, which found no prima facie case against them.
The fraudulent activity was traced to a spoofed domain, “coindcx.pro,” operated by unknown impersonators with no link to CoinDCX. According to statements presented in court, no transactions occurred on the CoinDCX exchange, and the complainant confirmed he had no prior interaction with the company or its founders.
I want to address what happened to Neeraj and me last week. Of course, it was quite shocking to us as well and honestly very disheartening. But today, we want to talk about what actually happened and more importantly, what we’re going to do about it.
On March 21, we were taken… pic.twitter.com/7uNEu0T3H3
— Sumit Gupta (CoinDCX) (@smtgpt) March 30, 2026
Exchange targets industry-wide fraud with shared security infrastructure
CoinDCX stated that the incident exposed structural gaps in how digital finance fraud is detected and attributed, particularly when bad actors exploit brand identity without engaging official systems. The company warned that similar cases could potentially affect any digital business operating in the crypto or fintech sector.
To address this, the Digital Suraksha Network will introduce a 24/7 WhatsApp-based helpline for users to verify links, platforms, and investment offers before transacting. The service will be open to the wider public, not limited to CoinDCX customers.
The initiative will also include an open fraud intelligence API containing data on more than 1,200 identified impersonation websites. CoinDCX plans to expand this dataset in collaboration with exchanges, fintech firms, banks, and lenders to create a shared fraud detection layer across India’s digital financial ecosystem.
Blockchain forensics training and nationwide awareness push
A portion of the funding will be allocated to training law enforcement agencies in blockchain forensics and digital asset tracing, aiming to improve investigative capacity in cybercrime units. The initiative also includes a nationwide awareness campaign under the banner “Caution Before Transaction,” focused on improving user vigilance in digital financial activities.
CoinDCX emphasized that fraud networks are becoming increasingly sophisticated, often using AI tools to scale impersonation attacks. The exchange stated that collective industry action is now necessary to strengthen trust and safety in India’s growing digital asset ecosystem. Meanwhile, Coinbase has reaffirmed its commitment to India’s fast-growing crypto ecosystem through a new strategic investment in CoinDCX.
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