CoinDCX CEO Sumit Gupta has firmly denied reports that the company is being acquired by Coinbase, stressing its commitment to India’s crypto market.
Key Takeaways
- 1CoinDCX CEO Sumit Gupta called Coinbase acquisition rumors false
- 2Indian media had reported $1 billion buyout talks between Coinbase and CoinDCX
- 3Denial follows a $44 million hack that affected CoinDCX’s hot wallet
- 4Coinbase has expanded globally with recent acquisitions and an Indian regulatory license
What Happened
CoinDCX, India’s largest crypto exchange, has denied reports of being acquired by U.S.-based Coinbase. CEO Sumit Gupta dismissed the claims circulating in Indian media, reinforcing that the company is committed to building within India. The rumor comes just days after a security breach that led to a $44 million loss, raising questions about CoinDCX’s future and valuation.
CoinDCX Says ‘No’ to Coinbase Rumors
On July 29, Sumit Gupta publicly addressed claims made by Indian news outlet Mint that Coinbase was in “advanced” talks to buy CoinDCX for under $1 billion. Gupta used social platform X to clarify, writing, “CoinDCX is ‘super focused’ on building for India’s crypto story and not up for sale!”
Mint’s report, citing two unnamed sources, claimed Coinbase already held equity stakes in both CoinDCX and its rival CoinSwitch, fueling speculation of a larger strategic move. However, Gupta labeled these claims as rumors.
Coinbase also chose not to confirm or deny the report. A company spokesperson said, “We don’t comment on rumors or speculation,” but added that Coinbase continually seeks opportunities to “build, buy, partner and invest” across global markets.
Fallout from a $44 Million Hack
Just 11 days before the acquisition rumors, CoinDCX suffered a $44.2 million security breach. Hackers accessed an operational wallet used for liquidity provisioning and drained funds in minutes.
Key details from the breach include:
- Only internal wallets were affected; customer funds in cold wallets remained secure
- CoinDCX processed over 31,000 withdrawal requests within a single day post-attack
- A bug bounty program was launched, offering up to 25% of any recovered funds (capped at $11 million)
- Blockchain sleuth ZachXBT noted that attackers used Tornado Cash and cross-chain bridges to obfuscate transactions
Despite these setbacks, CoinDCX acted quickly to stabilize operations, using its treasury reserves to cover losses and announcing stricter security protocols moving forward.
Coinbase’s Broader India Strategy
Coinbase has shown increasing interest in the Indian market. In March 2025, the company received registration from India’s Financial Intelligence Unit (FIU), allowing it to operate more formally in the country.
Its recent acquisitions, including the $2.9 billion purchase of Deribit and token-management platform Liquifi, highlight Coinbase’s strategy to diversify and dominate in multiple crypto sectors.
Even though Coinbase briefly operated in India back in 2022, regulatory uncertainty pushed it to pause. Now, with India expected to roll out its first comprehensive crypto policy, Coinbase sees a renewed chance to re-enter, possibly by acquiring local infrastructure.
CoinDCX’s Valuation and Market Position
CoinDCX was valued at $2.2 billion in 2021, but reports suggest the acquisition talks (if real) were valuing it at under $1 billion. This drop reflects a broader market cooldown and reputational impact from the recent hack.
Despite the challenges, CoinDCX continues to lead the Indian crypto space with over 13 million registered users. It remains a significant player and a potential target for global firms looking to scale quickly in South Asia.
CoinLaw’s Takeaway
Honestly, I respect Gupta’s quick and clear response. In a market filled with whispers and speculations, it’s refreshing to see a CEO shut things down without ambiguity. The timing of this rumor, just days after a major security breach, is too coincidental to ignore. While it’s clear that CoinDCX has some rebuilding to do, the firm’s focus on the Indian market is commendable. And Coinbase? They’re playing the long game in India, no doubt. If a deal ever happens, it will likely come after the dust settles and the market regains confidence.
