India’s leading crypto exchange CoinDCX is facing a storm after its cofounders, Sumit Gupta and Neeraj Khandelwal, were arrested following an FIR alleging cheating and financial fraud. The company has firmly rejected the charges, saying the case is based on a larger impersonation conspiracy.
According to CoinDCX, fraudsters have been posing as its founders, misleading the public and diverting money into unrelated accounts. The firm clarified that the accounts mentioned in the complaint have no link to its operations. It stressed that the FIR is false and misleading, and appears to be part of a deliberate attempt to damage its reputation.
Between April 2024 and January 2026, CoinDCX reported 1,212 fake websites impersonating its official platform. These sites tricked investors by copying the brand identity and misusing the names of its cofounders. The company has already issued public notices warning users about such scams.
CoinDCX highlighted that brand impersonation and cyber fraud are becoming a major threat in India’s fast-growing digital finance ecosystem, especially with more retail investors entering crypto and online trading. The exchange said it is fully cooperating with law enforcement and remains committed to raising awareness among users to prevent financial fraud.
The company condemned the fraudulent activities and assured that it will continue to support authorities in tackling such misconduct.
