The CoinDCX USDT freeze has blocked the movement of approximately $2.21 million in tokens linked to a 15.99 million USDT loss at the Indian cryptocurrency exchange. Tether blacklisted nine TRON addresses on October 22, 2026, after suspicious transfers from CoinDCX-associated wallets.

Key Takeaways

  • The blacklisted addresses held 2,212,850.29 USDT, about 13.8% of the reported loss.
  • CoinDCX said an automated wallet-sweeping service failed, allowing deposits to accumulate in previously compromised infrastructure.
  • The exchange said it absorbed the loss and that customer balances were unaffected.

What the CoinDCX USDT freeze covers

Blockchain intelligence firm BlockintAI said the nine addresses were added to Tether’s blacklist in the same block at 22:45:39 UTC on October 22. The addresses held between approximately 20,000 USDT and 664,939 USDT each.

The freeze prevents those addresses from transferring their USDT, but it does not automatically return the tokens to CoinDCX. BlockintAI said blockchain records did not show who requested the freeze, and Tether had not issued a separate public explanation.

How the wallet loss occurred

CoinDCX confirmed the 15.99 million USDT loss on October 25. It said some customers had continued depositing funds into older addresses associated with infrastructure compromised in a July 2025 breach.

The exchange said it credited those customers and relied on an automated service to sweep the underlying assets into active wallets. When the service failed for an unspecified period, funds accumulated in the vulnerable infrastructure.

CoinDCX initially disputed reports of a new compromise, saying the affected addresses had been retired after the earlier breach. It later acknowledged that deposits had continued to arrive. The exchange said its active trading and wallet systems continued functioning normally.

Most of the outflow remains outside the freeze

BlockintAI traced the blacklisted addresses to an initial receiving wallet and identified transfers reaching exchanges including Binance, OKX and Gate. Earlier analysis by Bitquery estimated that about $9.63 million had reached addresses associated with those exchanges within 18 hours of the main outflow.

Those address identifications do not establish whether the receiving accounts were frozen or whether the funds can be recovered. CoinDCX’s separate July 2025 breach caused a loss of approximately $44 million.

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