CoinDCX proudly announces the creation of the Crypto Investors Protection Fund
CoinDCX, India’s leading cryptocurrency exchange, proudly announces the creation of the Crypto Investors Protection Fund (CIPF). With an initial endowment of INR 50 crore, the CIPF is designed to offer an additional layer of security, compensating users for losses in the extraordinary events of security breaches or other significant adverse occurrences. This initiative marks a significant stride in reinforcing investor confidence and trust within the Indian cryptocurrency landscape.
A Proactive Approach to Security
The establishment of the CIPF is part of CoinDCX’s ongoing commitment to prioritizing user security and asset protection. CoinDCX has set a new standard in the industry by not only implementing state-of-the-art security measures but also by preparing preemptively for unforeseen challenges.
Sumit Gupta, Co-Founder of CoinDCX, emphasized the importance of security, stating, “At CoinDCX, the security of our customers’ assets is paramount. We implement rigorous security protocols and our investment in top-tier security practices is unwavering. The CIPF is a testament to our commitment to our users’ peace of mind, ensuring that their investments are safe with us.”
Enhanced Protective Measures
The CIPF will be governed by a robust framework designed to ensure the effective management and transparent utilization of the fund. This framework includes the regular addition of 2% of brokerage income to the corpus, with the aim to progressively increase the pool size. Such measures ensure that the fund remains adequate to cover potential losses, reflecting CoinDCX’s proactive approach to risk management.
CoinDCX’s approach goes beyond conventional security measures. Being ISO 27001:2022 certified and the first FIU registered Exchange in India, CoinDCX adopts a holistic view of security. The exchange employs multi-party computation (MPC), two-factor authentication (2FA), and other advanced encryption methods to secure user assets.
Building Trust in Crypto Investments
The creation of the CIPF is a pioneering step in building long-term trust in the Indian crypto ecosystem. “The establishment of the Crypto Investors Protection Fund is not just about securing assets but also about building an environment where digital investments are democratized and accessible without undue risk,” Sumit Gupta added.
This initiative is part of CoinDCX’s broader mission to make cryptocurrencies and Web3 experiences accessible and safe for all, aligning with their commitment to adhere strictly to KYC and AML guidelines. The exchange prioritizes user safety through regular security audits and compliance checks, ensuring adherence to the highest standards of regulatory compliance.
Commitment to User Safety and Innovation
Since its inception in 2018, CoinDCX has grown to become the largest cryptocurrency exchange in India, trusted by over 15 million registered users. The launch of the CIPF is a reflection of CoinDCX’s dedication to innovation and leadership in the cryptocurrency sector.
“As the market evolves, our strategies and tools will also evolve to continue providing our users with a safe, secure, and innovative trading environment,” Sumit Gupta remarked. “The CIPF is just the beginning. We are committed to continuously enhancing our security features and leading the way in the Indian cryptocurrency market.”
About CoinDCX
CoinDCX is committed to being a key player in the blockchain and cryptocurrency industry in India by promoting the mainstream adoption of cryptocurrency as a viable investment option through technological innovation, awareness, and sustained regulatory compliance.
