- CoinDCX unveils Bharat Custody, a VDA protection solution aimed at enhancing crypto asset security and trust within India’s crypto ecosystem.
- Bharat Custody, set to launch in 2025, offers advanced security measures, independent governance, and localized asset management in India.
Indian cryptocurrency platform, CoinDCX, has announced the launch of Bharat Custody, a virtual digital asset (VDA) protection solution tailored for the Indian crypto ecosystem. The service, described as an “Indianized” custody solution, aims to provide third-party protection for exchanges and VDA companies while fostering trust among local investors.
The announcement was made during Unfold 2024, CoinDCX’s flagship Web3 event. According to Sumit Gupta, Co-Founder of CoinDCX, Bharat Custody addresses a critical gap in the Indian market by offering a secure, localized approach to safeguarding crypto assets.
“The need for a secure, safety-first, and uniquely Indian crypto custody solution has never been more pressing. With over 3 crore investors already engaged in India’s crypto ecosystem, there is a clear and urgent demand for a solution that builds trust and confidence at scale,” said Gupta.
Gupta further emphasized that Bharat Custody supports the entire industry, including other exchanges and VDA companies. He compared the initiative to the role of the National Securities Depository Limited (NSDL) in traditional capital markets, underscoring its significance in securing investors’ assets.
Bharat Custody will be independently governed and hosted entirely within India, adhering to local data localization and protection standards. The solution incorporates advanced security features like air-gapped architecture, encryption protocols, and AI-powered fraud detection systems. CoinDCX has allocated ₹50 crore for research and development, with plans to launch Bharat Custody in the first half of 2025.
The initiative also includes a consumer protection fund and a self-imposed regulatory framework modeled on best practices from capital markets. CoinDCX intends to ensure transparency through periodic public reporting, further reinforcing its commitment to investor protection and regulatory alignment.
Gupta also emphasized that Bharat Custody represents more than just infrastructure, stating,
“It’s a testament to our commitment to building a robust, self-regulated framework that aligns with the expectations of regulators and the aspirations of millions of Indian crypto enthusiasts.”
Editorial Note: This news article has been written with assistance from AI. Edited & fact-checked by Harshajit Sarmah.
