CoinDCX co-founders Sumit Gupta and Neeraj Khandelwal have been questioned by Indian authorities following a fraud complaint linked to a fake investment website.
Reports vary on whether the pair were arrested or only called in for questioning, with the case centred on alleged losses of about $75,000 by an investor using a spoofed platform.
The exchange said the complaint was “false and filed as a conspiracy,” attributing the incident to impersonators misusing its brand.
CoinDCX said more than 1,200 fake websites have mimicked its domain, highlighting the growing scale of phishing and impersonation scams in India’s crypto sector.
The case comes amid a surge in online investment fraud, which accounted for 76% of financial losses in India in 2025, according to government data.
CoinDCX, backed by Coinbase Ventures and valued at $2.45 billion, has also faced scrutiny following a $44 million internal breach in 2025, though customer funds were unaffected.
The company said it is cooperating with authorities while focusing on user education as scams continue to rise across digital asset platforms.