FEMA search hits Bengaluru sites linked to CoinDCX and Delta Exchange

TronWeekly reports that India’s Enforcement Directorate searched three Bengaluru premises linked to CoinDCX and Delta Exchange on November 4 and 5. The searches were conducted under the Foreign Exchange Management Act, according to the outlet’s account of the development. Authorities alleged that INR deposits were converted into USDT and routed abroad through Costa Rica. The funds were reportedly used for derivatives and tokenised-stock trades valued in the thousands of crores, although TronWeekly’s summary does not provide a precise transaction total or identify individual respondents. This is a single-source report, with no additional outlet coverage supplied to confirm the search locations, entities involved or allegations. The reported mechanism remains central to the case: alleged conversion of domestic rupee deposits into a dollar-linked stablecoin, followed by overseas activity routed through Costa Rica.

USDT traded at $0.999149 and was unchanged over 24 hours, while its seven-day move was -0.03%. DeFiLlama placed USDT’s circulating supply at $175.65 billion, compared with a reported $175.73 billion market capitalization. The broader crypto market was broadly lower, with total capitalization at $2.47 trillion, Bitcoin down 1.89% over 24 hours and the Fear & Greed index at 28, indicating Fear. Further regulatory findings, the precise scale of the alleged flows and any response from the linked businesses are the main points to watch.