CoinDCX Rolls Out Compensation for $PEIPEI Trading Glitch

CoinDCX has issued a detailed update regarding the recent $PEIPEI trading incident, outlining the compensation process for affected users.

Total Compensation Amount

CoinDCX has processed compensation in multiple batches to ensure thorough review and fairness. All impacted users have been compensated based on their trading activity during the period from November 29, 2024, 8:00 PM, to December 1, 2024, 1:40 PM.

📢 Update on $PEIPEI Token

Further to our earlier announcement regarding the $PEIPEI token, we want to provide additional clarity. At CoinDCX, transparency and user safety remain our top priorities.

🔍Proof of Correct Listing:
We would like to reiterate that the $PEIPEI token… pic.twitter.com/xH8R2vY74M

— CoinDCX Cares (@CoinDCX_Cares) December 7, 2024

Compensation Calculation Logic

The compensation has been calculated based on two scenarios:

Example 1: Multiple Trades During the Period

• First Investment: ₹10,000 (Principal invested at the inflated price)
• Realized PnL: ₹15,000 (Profit made from the first trade)
• Total Available Amount: ₹25,000 (Initial investment + Realized PnL)
• Reinvested Amount: ₹30,000 (Includes an additional investment of ₹5,000)
• Current Value After Glitch: ₹7,000 (Value of holdings after price correction)
• Unrealized PnL: ₹-23,000 (₹30,000 – ₹7,000 = Unrealized Loss)
• Compensation Amount: ₹8,000 (Realized PnL + Unrealized PnL)

Example 2: Single Trade During the Period

• Initial Investment: ₹10,000 (Principal invested at the inflated price)
• Realized PnL: ₹0 (No profit or loss realized)
• Current Value After Glitch: ₹2,000 (Value of holdings after price correction)
• Unrealized PnL: ₹-8,000 (₹10,000 – ₹2,000 = Unrealized Loss)
• Compensation Amount: ₹8,000 (Realized PnL + Unrealized PnL)

Compensation Components

• Realized PnL: Losses from trades executed during the affected period.
• Unrealized Losses: Any open $PEIPEI holdings as of December 1, 2024, 1:40 PM, were valued at the prevailing market price (PEIPEI CMP = 0.00000012; USDTINR = 86.4).

Clarification for Users Feeling undercompensated

CoinDCX has clarified that the compensation is calculated based on realized and unrealized PnL, excluding any profits reinvested during the trading period. This approach ensures fairness and reflects the true impact of the technical glitch on trading activity.

Steps to Verify Compensation

Users who feel undercompensated can raise a concern by following these steps:

1. Visit the Help & Support page on the Web or Mobile app.
2. Select “Trading & TDS.”
3. Choose “Issue with PEIPEI Token.”
4. Provide the necessary details, and the support team will create a ticket to assist further.

CoinDCX’s Commitment

CoinDCX acknowledges the inconvenience caused by the incident and remains committed to ensuring transparency and fairness for all users. The company thanks its community for their trust and patience as it continues to prioritize user safety and satisfaction.

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