CoinDCX said it absorbed a $15.99 million loss in Tether (USDT) after an automated wallet sweep stopped moving deposits onward from retired addresses. The exchange confirmed the loss four days after the reported wallet activity.
CoinDCX said the retired wallets were among those compromised during the 2025 incident. Its sweep process was intended to move funds collected at individual deposit addresses into another wallet system; deposits accumulated when that process stopped.
Activity involving the wallets occurred Oct. 21. CoinDCX later confirmed on Sunday, Oct. 25, the loss tied to the activity, which it had initially called a false alarm. Its Oct. 25 update did not give a reason for the interruption.
The reported cost fell on CoinDCX, which said it covered the loss. It also said the incident left customers' deposit balances and systems in operation unaffected.
The exchange had previously said customer accounts were credited when deposits reached old addresses, as detailed in EconoTimes' earlier coverage of the failed wallet sweep.
