India’s crypto scene has seen its fair share of chaos. But what’s unfolding at CoinDCX is not just shady—it’s a masterclass in deception. At the center of it all is CEO Sumit Gupta, who has been parading around as the face of Indian crypto innovation. But behind the speeches, the tweets, and the tricolour branding lies a troubling truth:
CoinDCX is definitely NOT what it claims to be.
The Lithuania Connection No One Told You About
Let’s start with a simple question:
Where is your crypto actually stored if you use CoinDCX?
If you assumed “India,” CONGRATULATIONS, you’ve been misled and manipulated.
The real custodian of CoinDCX’s services is Oystex UAB, a private company based in Lithuania—a fact hidden in the fine print of the exchange’s Terms of Use.
Here's what the Terms (as of May 2024) say:
“Oystex UAB is a Lithuanian private limited company... All crypto transmission services are being offered by this Partner entity.”
In simple English:
All your trades, transfers, and wallets on CoinDCX are operated by a European shell company, not by any Indian entity, and certainly not under Indian regulations.
But Isn’t CoinDCX “Made in India”?
Sumit Gupta never fails to chant the “Make in India” slogan at crypto events and on social media. He claims user funds are safe, and that India is the future of Web3. But he never tells you that your funds are legally managed under Lithuania’s jurisdiction, not India’s.
When questions started surfacing online (especially after July 13, 2025), Gupta responded with a dismissive tweet:
“We clarified this last year, and it’s even clearly mentioned in our public Terms of Use.”
He’s technically right. It’s there—in legal jargon, in fine print, where no normal user would look.
But if you’re truly building for India, why hide something so important?
Why Should Users Care?
This isn’t a technicality. It’s a massive red flag.
Here’s what this setup means for you:
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Regulatory Loophole: CoinDCX has chosen to route operations through Lithuania to dodge Indian laws.
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User Risk: If anything goes wrong, Indian users may find themselves without legal protection, because their assets are held overseas.
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False Advertising: Branding itself as an Indian exchange while outsourcing custody abroad is misleading and dangerous.
Silence of the Influencers: Bought or Blind?
You’d think crypto influencers—always ready to jump on scams—would’ve called this out.
But no. Not a whisper.
Instead, they’ve been busy pushing PR fluff:
“CoinDCX is safe.”
“CoinDCX is compliant.”
“Don’t panic.”
But not one word about Oystex UAB or the Lithuanian backdoor.
Why the silence?
Because truth doesn’t pay as well as promotion.
Many influencers today are more loyal to ad deals than to their audiences.
A Sharp Contrast: What WazirX Got Right (This Time)
Ironically, after facing its own crisis, WazirX has taken a different path. Following a major cyberattack in 2024, it has publicly disclosed legal restructuring, filed petitions transparently, partnered with global custodians, and opened the books to Indian regulators.
They are navigating through this. But, at least WazirX isn’t hiding behind a foreign shell company while waving the Indian flag. Everything is out in the public domain.
The Harsh Truth
CoinDCX wants you to believe it’s the safest Indian exchange.
But facts say otherwise:
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It shifted your crypto to Lithuania without openly telling you.
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It allowed influencers to whitewash the truth.
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It played the patriotism card while dodging Indian oversight.
Final Words: Don’t Be Fooled by Flags and Slogans
The crypto industry thrives on trust. When platforms bury critical truths behind legal walls and media spin, they betray that trust.
If you use CoinDCX today, ask yourself: Do I really know where my funds are?
Because if something goes wrong, you won’t be emailing an Indian helpdesk—you’ll be writing to a faceless EU company called Oystex UAB.
And Sumit Gupta? He’ll still be on stage, talking about “building for Bharat.”
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