CoinDCX, a prominent Indian cryptocurrency exchange, today launched a $6 million (INR50 crore) Investor Protection Fund following the recent $230 million hack of its competitor, WazirX.
The fund, named the Crypto Investors Protection Fund (CIPF), is designed to compensate users for losses in rare scenarios such as security breaches or other adverse events.
CoinDCX will contribute 2% of its brokerage income to the CIPF corpus annually, with plans to increase the fund size over time. This initiative aims to enhance trust and security in the Indian crypto ecosystem.
CoinDCX announced the launch on X: “We’re here to set new standards in the Indian crypto ecosystem, fostering long-term trust and security.”
“Introducing Crypto Investors Protection Fund (CIPF). With an initial allocation of INR 50 crore, we are committed to adding 2% of brokerage income to the corpus and increasing the pool size over time to compensate users for losses incurred in extremely rare scenarios such as security breaches or other adverse events.”
Read Also: Top Five Crypto Scams And How To Avoid Them
