Oxalate plays a crucial role in various biological and industrial applications. Its involvement in diseases, drug‐ and toxin‐induced disorders, and disruption of industrial processes makes it a high‐priority chemical for the development of more precise, selective, and straightforward analytical methods. Herein, an innovative and efficient strategy for sequentially measuring Cu2+ and oxalate ions is reported. During an indicator displacement process, where Cu2+ and azo dye, ArsenazoIII (AAIII), are used as receiver and indicator, respectively, oxalate (C2O42−) is measured by a colorimetric method. Proof of concept results from UV–visible spectroscopy, naked eye, and signal reset of the indicator revealed a more robust interaction of the Cu2+ receptor with C2O42− than the AAIII indicator with high selectivity, good sensitivity, and lower detection limit(4.01 × 10−8 and 3.04 × 10−9mol L−1, for Cu2+ and C2O42−, respectively). The results of measuring C2O42− in actual samples (urine, mushrooms, and spinach) showed the applicability of the existing method. Most importantly, the colorimetric system based on molecular exchange in the indicator dislocation proceeding can serve as a colorimetric INHIBIT logic‐gate. It works like a molecular keypad lock system that can be controlled by two users with two different sets of chemical passwords (inputs) that can be identified through optical paths.