Opinion

How does CoinDCX keep user funds safe with BitGo?

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Snapshot:

  • Security of Funds for CoinDCX
  • What is BitGo Insurance?
  • Expert curated best security practices for investors and traders

The safest cryptocurrency exchange in India; CoinDCX, takes the security of the digital assets and all private information stored within the platform very seriously. CoinDCX’s user funds are insured by $100 million BitGo insurance. Our team conducts regular audits and keeps updating themselves upon existing protocols to ensure that our security measures are solid and impenetrable. The other measures implemented by the platform to ensure world-class security are: 

  • geographically distributed cold wallets
  • DDoS protection
  • regular stress testing measures
  • multi-signature authentications 

To further ensure maintenance of all the necessary cryptocurrency security protocols we are always upgrading ourselves with industry-best security measures along with regular testings to check any violations. The implemented cutting-edge protocols safeguard the digital coins and private keys of all users from any attempts at hacks and malicious attacks. The technology and security team of CoinDCX consists of some of the industry-best individuals. They conduct regular research on potential attacks and work towards guaranteed protection with innovative solutions.

What is BitGo Insurance?

One of the largest and prominent overseers for digital assets is BitGo. Their policies are purpose-built to look over digital assets and cryptocurrencies. Implementation of the BitGo custody on the CoinDCX exchange assures the security of the assets, and cryptocurrencies with the use of segregated hot and cold wallets along with two-factor authentication (2FA) for all accounts. A fraction of the total funds that have been traded on the CoinDCX exchange will be protected by the $100 million USD insurance policy from BitGo. This insurance policy also includes cryptocurrencies that our users are holding on Lend. Simply put, CoinDCX is using BitGo services to provide the best security to its cold wallet funds. 

The customer base of BitGo includes the largest cryptocurrency exchanges and various institutional investors spanning over 50 countries. There are over 250 coins and crypto tokens that BitGo supports. It also processes over 20% of the worldwide on-chain Bitcoin transactions. One of BitGo’s most significant innovations was perfecting and pioneering multi-signature security in 2013 when exchanges were a handful and most of the world had yet to hear of Bitcoin. 

Continuing our dedication to using the best security measures to safeguard user data and funds CoinDCX has deployed the following methods to ensure industry-best practices. Trust us and keep exploring the evolving crypto space on CoinDCX.

  • Geographically Distributed Cold Wallets – Our funds are held in geographically distributed multi-signature cold wallets. No single person has access to multiple wallets at the same time, nor can just a single person remove funds from any wallet.
  • Regular Stress Testing – We conduct regular stress, scenario, and penetration tests to mitigate any attack vector onto our platform. If found, our expert team proceeds to solve these issues, while continually testing our systems’ abilities to withstand load and detect intrusion.
  • 2-Factor Authentication – 2FA allows you to add an extra layer of security to your account, through OTPs received on your mobile number or by enabling Google Authenticator.
  • Complete Fund Safety – Only 5% of all funds are kept on hot wallets. 95% of all funds on CoinDCX are kept on multi-sig cold wallets. We keep full reserves to always facilitate immediate withdrawals.
  • Vetting of Accounts – Our security team vets large withdrawals as well as works on multiple account reconciliation at every minute to ensure the safety of funds on the platform.

Best security practices one can follow while investing in cryptocurrency:

Last year our security head Akash Mishra and our Head of Marketing Ramalingam Subhramanian conducted an AMA on security. Here are some of the precautions that one can take to reduce the chance of them getting hacked. These steps are true for any platform on the internet and not just CoinDCX.

  1. Applications should only be installed from official sources(for example Google Play Store and App Store). Installation of application from an untrusted source is risky
  2. Keep your device os and applications updated with the latest security patches
  3. Do NOT leave your device unattended. Do NOT plug in untrusted accessories in your device.
  4. Use VPN Software to establish a secure network connection.
  5. Follow good security practices like Connect to HTTPS websites. Check the URL of the platform in the address bar before providing credentials.
  6. Clear browsing session information when using devices that do not belong to you.
  7. Don’t use public wifi while using CoinDCX
  8. Bookmark the URL https://coindcx.com/ and use the bookmark for accessing the platform
  9. Regular audit of communication/account activity
  10. The only medium of communication with CoinDCX is through the support channel https://support.coindcx.com
  11. Using a password manager could be a good start. I would suggest that if you have funds more than 1000 USD in your account then you can invest some money in getting a VPN connection/password manager.
  12. Don’t use rooted/jailbroken devices for accessing the CoinDCX app.
  13. Try Haveibeenpwned.com to check if your email id has been compromised.

Join our Telegram channel and interact with us for any further queries. CoinDCX is built for your ease in accessing the crypto space using the simplest and safest product services!

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