- Employee arrest amid CoinDCX crypto theft investigation.
- Rahul Agarwal denies involvement in $44M hack.
- Sophisticated social engineering attack implicated.
CoinDCX software engineer Rahul Agarwal was arrested in connection with a $44 million cryptocurrency hack in July 2025, following a social engineering attack targeting his credentials.
The incident underscores security vulnerabilities in cryptocurrency exchanges and highlights the sophistication of cyberattacks, affecting market confidence and prompting ongoing investigations by CoinDCX and authorities.
A CoinDCX employee was arrested in connection with a $44 million cryptocurrency theft from the exchange. The incident, occurring in July 2025, involved social engineering tactics that resulted in compromised credentials.
Rahul Agarwal, a software engineer
at CoinDCX, was targeted by hackers posing as potential employers. This led to him installing malware on his laptop, unwittingly granting access to internal systems used in the hack.
“I had no idea about the theft and the freelance jobs I took on may have inadvertently exposed me to threats.” — Rahul Agarwal, Software Engineer, CoinDCX
The financial impact of the security breach
included the theft of substantial funds, notably $44 million in various cryptocurrencies. The exact assets affected remain undisclosed, with only a few references including Tether (USDT).
The social engineering attack
methods alarmed industry stakeholders by highlighting vulnerabilities in cybersecurity protocols. This event triggered concerns among cryptocurrency exchanges about similar phishing threats. Further details can be found on the CoinDCX Software Engineer Arrested After $44 Million Hack article.
Rahul Agarwal maintains his innocence
stating he was unaware of the malware’s activities. The investigation, led by CoinDCX’s parent company, Neblio Technologies, suggests no deliberate insider action.
The breach follows a pattern of targeted attacks on exchanges using sophisticated phishing strategies. Citing earlier similar incidents, experts predict increased focus on enhancing security measures against social engineering techniques.
“Based on our internal preliminary findings, this appears to be a sophisticated social engineering attack.” — Sumit Gupta, Co-founder & CEO, CoinDCX
