đ¨đ¨Indian Crypto Exchange WazirX Charts Recovery Path after $235M Cyberattack
Indian cryptocurrency exchange WazirX, which suffered a $235 million cyberattack in July 2024, has announced a restructuring plan aimed at compensating affected users.
Zettai, the parent company managing WazirX, filed for a moratorium at the Singapore High Court in August 2024, proposing a restructuring plan under a Singapore Scheme of Arrangement.
A Singapore Scheme of Arrangement is a court-approved legal process companies use to restructure their debts and liabilities. It allows the company to propose a binding arrangement with creditors, ensuring resolution while avoiding liquidation.
As of December 2024, WazirX reported liquid assets of $566.38 million USDT exceeding the total claims of $546.47 million USDT filed by users in July 2024.
The company said it would be returning funds through token distributions, which could yield 75% to 80% of the value of usersâ account balances at the time of the cyberattack.
CoinSwitch capitalizes on the hack
Indian cryptocurrency exchange and WazirX competitor CoinSwitch has announced a recovery fund aimed at supporting victims of the WazirX cyberattack.
CoinSwitch took to X on Jan. 7 to officially announce the launch of a WazirX hack recovery fund of 600 crore Indian rupees ($69.9 million) called âCoinSwitch Cares,â the companyâs recovery fund.
Notably, CoinSwitch is also pursuing legal action against WazirX to recover 2% of its funds stuck with WazirX, cumulatively amounting to 12.4 crore rupees ($1.44 million).
WazirX also plans to launch a DEX to generate additional profits and settle outstanding claims.