CoinDCX, a leading Indian cryptocurrency exchange, has established a Crypto Investors Protection Fund (CIPF) to provide investors with a financial safety net. This initiative marks a significant step towards fostering trust and enhancing security in India’s rapidly growing crypto market.
The fund will be allocated a 2% share of the trading fees collected from users, with plans to expand the corpus over time. CoinDCX assures investors that more details will be shared in the coming months as it seeks to build a robust framework for investor protection.
Commitment to security and transparency
The Crypto Investors Protection Fund is part of CoinDCX’s commitment to ensuring a secure and transparent environment for crypto enthusiasts. By implementing advanced security protocols such as two-factor authentication (2FA) and multi-party computation (MPC), CoinDCX demonstrates its dedication to safeguarding investor assets. The CIPF is designed to act as an insurance policy, compensating users for losses incurred during unforeseen security breaches.
CoinDCX employs a strategy of storing assets across multiple locations to protect customer funds further, reducing vulnerability to cyberattacks. The exchange is committed to maintaining transparency by publicly disclosing the amount and location of stored funds. CoinDCX strictly adheres to government regulations, conducting regular security audits to ensure optimal performance.
Setting new standards in the Indian Crypto Space
CoinDCX introduces the CIPF to position itself as a pioneer in India’s cryptocurrency sector. The exchange, which holds an ISO 27001:2022 certification, aims to set a benchmark for safety and trust in the crypto community. With over 30 million crypto investors in India, CoinDCX aspires to create a reliable and secure investment landscape, encouraging broader digital asset adoption.
Sumit Gupta, co-founder of CoinDCX, highlights the importance of prioritizing security within the platform. He likens the CIPF to a seatbelt for crypto investments, providing a layer of protection without guaranteeing complete immunity from risks. Gupta describes the CIPF as a unique initiative, emphasizing its role in building long-term trust within the Indian crypto ecosystem.
CoinDCX’s major milestone
The introduction of the Crypto Investors Protection Fund aligns with CoinDCX’s vision of cultivating a robust and secure crypto market in India. The exchange is dedicated to setting industry standards and leading by example. By allocating a portion of its brokerage income to the CIPF, CoinDCX reinforces its commitment to investor safety and transparency.
CoinDCX is recognized as the first officially registered Indian crypto exchange to achieve ISO 27001:2022 certification. This accolade reflects the exchange’s dedication to maintaining high-security standards and promoting confidence among investors. The CIPF represents a proactive approach to addressing the challenges and uncertainties inherent in the crypto industry.
Sumit Gupta encourages India’s crypto enthusiasts to stay informed about the CIPF framework’s forthcoming details. CoinDCX remains focused on enhancing the user experience, building trust, and contributing to developing a thriving crypto ecosystem in India. By prioritizing security and transparency, the exchange aims to solidify its position as a leader in the Indian crypto market.