Two co‑founders of India’s crypto exchange CoinDCX, Sumit Gupta and Neeraj Khandelwal, have been arrested in Bengaluru over an alleged fraud involving ₹71.6 lakh, police said. The case was registered on March 16 under sections related to cheating, breach of trust, and fraud.
Along with the co‑founders, four other individuals have also been taken into custody as police continue investigating the matter. Authorities are examining how the alleged scam was carried out and are gathering evidence to understand the role of all involved.
CoinDCX has denied any wrongdoing, stating that the FIR is based on a conspiracy involving impersonators who misused the company’s name and fake websites to carry out fraud. The exchange said it has reported hundreds of fake websites to authorities to prevent further misuse.
The arrests have raised concerns among crypto users and investors, highlighting the risks of scams and impersonation in digital asset platforms. Authorities have urged caution and emphasized the importance of cybersecurity and vigilance.
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