WazirX, an Indian cryptocurrency exchange, has received approval from a court in Singapore for its restructuring plan to compensate users affected by a $235 million cyberattack which occurred in July 2024. The cyberattack was attributed to North Korea’s Lazarus Group.
Reconstruction and Recovery Plan:
- The approval of the Singapore High Court came on January 23, 2025, under the Companies Act 1967. This approval was for a scheme aimed at distributing funds back to the victims of the hack.
- Users are expected to recover up to 80% of their stolen funds, although this process cannot fully compensate for losses, it is a significant step towards recovery.
- The plan includes a user voting process that ends within three months of approval. The distribution of funds is expected to begin within 10 days after the vote, based on claims and market returns.
- WazirX has also launched initiatives such as the distribution of recovery tokens, which can benefit from future revenues generated by platform operations and recovered assets.
CoinSwitch also “Cares” about WazirX
CoinSwitch, another Indian cryptocurrency platform, has announced a recovery fund named “CoinSwitch Cares” with 600 crore INR (approximately $70 million) to help WazirX users recover their losses within two years. With this initiative, CoinSwitch aims to restore trust in India’s crypto ecosystem amid the WazirX hack fallout.
These developments indicate a concerted effort to mitigate the impact of the cyberattack on WazirX users, with legal and financial measures to facilitate recovery.
Also Read: GMT Pay Turns Your Web3 Earnings into a Mainstream Utility
Disclaimer: The information provided on AlexaBlockchain is for informational purposes only and does not constitute financial advice. Read the full disclaimer here.
Photo Credits: Unsplash, Shutterstock, Getty Images, Pixabay, Pexels, Canva