WazirX, an Indian cryptocurrency exchange, received approval from a Singapore court for its restructuring plan to refund users affected by a $235 million cyberattack that occurred in July 2024. The cyberattack was attributed to North Korea’s Lazarus Group.
Restructuring and Recovery Plan:
- The Singapore High Court approval came on January 23, 2025, under the Companies Act 1967. This approval is for a scheme that aims to distribute funds to victims of the hack.
- Users are expected to recover up to 80% of their stolen funds, although this process will not fully compensate for losses, it is an important step towards recovery.
- The plan includes a user voting process that will conclude within three months of approval. Fund distribution is expected to begin within 10 days of the vote, based on claims and market gains.
- WazirX has also launched initiatives such as the distribution of recovery tokens, which could benefit from future profits generated by the platform’s operations and recovered assets.
CoinSwitch also “cares” about WazirX
CoinSwitch, another Indian cryptocurrency platform, has announced a recovery fund called “CoinSwitch Cares” with INR 600 crore (approximately $70 million) to help WazirX users recover their losses over a period of two years. With this initiative, CoinSwitch aims to restore trust in India’s crypto ecosystem amid the fallout of the WazirX hack.
These developments indicate a concerted effort to mitigate the impact of the cyberattack on WazirX users, with legal and financial measures implemented 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.
Image credits: unpack, Shutterstock, Fake Images, Pixabay, Pexels, canva
