India's largest crypto exchange to absorb $16M loss tied to retired wallet
The Mumbai-based exchange initially called reports of suspicious outflows a false alarm, then disclosed a $16 million loss from an internal process failure.
India's largest crypto exchange, headquartered in Mumbai, has disclosed a $16 million loss caused by an internal process failure involving a retired wallet, according to CoinDesk. The exchange initially dismissed reports of suspicious outflows as a false alarm before confirming the loss.
The company said it will absorb the $16 million loss itself rather than passing it on to users. The incident is tied to how the exchange handled a wallet that was no longer in active use.
Key facts
- Loss amount: $16 million
- Cause cited: internal process failure linked to a retired wallet
- Initial response: reports of suspicious outflows were described as a false alarm
- Financial impact: the exchange says it will absorb the loss
The disclosure draws attention to operational risks around wallet lifecycle management at centralized exchanges. It also follows initial public confusion over whether suspicious outflows had occurred.