CoinDCX Engineer Arrested in Connection with $43.4M Crypto Exploit

Indian police have arrested Rahul Agarwal, a 30-year-old software engineer at CoinDCX, following last month's theft of 3.79 billion rupees ($43.4 million) from the exchange. The breach, which occurred on July 19, involved unauthorized transfers routed to six external wallets. Agarwal's office-issued laptop credentials were allegedly used to access internal systems.

While denying direct involvement, Agarwal admitted to freelancing for unknown overseas clients. Investigators are examining a suspicious 1.5 million rupee deposit and a WhatsApp call from a German number received prior to the incident. The case has raised alarms about internal security vulnerabilities and potential ties to international hacking networks, with authorities probing possible North Korean links.

CoinDCX parent company Neblio Technologies confirmed customer funds remain secure, with losses being absorbed from corporate reserves. The stolen assets have yet to be recovered as the investigation continues.