CoinDCX denies allegations of transferring user funds to a non-compliant entity in Lithuania, asserting that user funds are managed by a fully legal company in India.
In light of information from a competitor accusing financial opacity, the CEO of CoinDCX confirmed that all customer funds are held at Neblio Technologies with full licensing and compliance with Indian regulations.
MAIN CONTENT
CoinDCX denies transferring user funds to a non-compliant entity in Lithuania.
Customer funds are managed by Neblio Technologies, a legal and qualified company in India.
The lawsuit related to the hacker attack incident causing $230 million in damages at WazirX.
How does CoinDCX respond to allegations of transferring user funds to Lithuania?
CoinDCX CEO Sumit Gupta directly refuted the allegations, asserting that the company did not transfer any funds from users to non-compliant entities. This is a statement based on strict legal compliance, reinforcing trust for the cryptocurrency user community.
Sumit Gupta emphasized: Neblio Technologies, the entity managing CoinDCX's user funds, fully complies with Indian law and is committed to ensuring the safety of customer assets.
“We maintain transparency and comply with strict regulations while absolutely protecting user rights.”
Sumit Gupta, CEO of CoinDCX, July 2023
What are the key details about Neblio Technologies and its legality?
Neblio Technologies is a registered and licensed company in India, subject to strict oversight by the financial authorities of this country. The existence of Neblio as a compliant entity contributes to a significant trust in the complex cryptocurrency financial market.
According to internal reports, Neblio not only has a high-risk control system but is also continuously evaluated by auditing organizations, confirming transparency and reliability in managing user funds.
What does it have to do with the $230 million hacker attack incident at WazirX?
The allegations were made by WazirX after the exchange suffered a hacker attack causing damages of up to $230 million. This incident led to tight control over cryptocurrency transactions and pushed stakeholders into an investigation regarding transparency in fund operations.
In response, CoinDCX asserted that it has no connection with non-compliant entities, while using the incident to reaffirm its commitment to user protection and the highest compliance.
“Transparency and legal compliance are the foundation for sustainable development in the cryptocurrency sector.”
Cryptocurrency finance expert, Asia Blockchain Conference 2023
Comparing user funds between CoinDCX and other cryptocurrency exchanges
Exchange Fund Management Unit Legality Legal Compliance CoinDCX Neblio Technologies (India) Fully licensed Strict compliance WazirX Unclear managing entity Legal risks Under investigation Other exchanges (e.g.) Multiple managing entities Often have local licenses Varies by region
Frequently Asked Questions
Does CoinDCX really keep user funds in India?
Yes, Neblio Technologies, the entity holding CoinDCX's customer funds, is registered and compliant with financial regulations in India, ensuring user asset safety.
How are the allegations related to the hacker incident at WazirX?
The allegations stem from the hacker attack on a competitor causing $230 million in damages, aimed at affecting CoinDCX's reputation, but the CEO of CoinDCX denied any connection.
How do the allegations impact CoinDCX's reputation?
CoinDCX has quickly responded, reinforcing user trust by clarifying processes and cooperating with regulatory authorities.
Which authority regulates Neblio Technologies?
Neblio is a company registered under the supervision of the Indian financial authority with full licenses, strict controls regarding security and legality.
Does CoinDCX implement user protection measures?
CoinDCX applies security standards, segregated fund custody, and legal compliance to protect customer interests absolutely.
Source: https://tintucbitcoin.com/coindcx-bac-cao-buoc-chuyen-tien-nguoi-dung/
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