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India’s cryptocurrency exchange WazirX is signaling a strong intent to relaunch operations nearly a year after a devastating $234 million security breach. The exchange has confirmed its readiness to resume trading, with a pivotal hearing scheduled for May 13, 2025, at the High Court of Singapore. This legal proceeding will determine the fate of WazirX’s proposed restructuring and, crucially, its plan to compensate the thousands of users affected by the July 2024 hack.
FAQ: What’s the current update on the restart of WazirX operations?
— WazirX: India Ka Bitcoin Exchange (@WazirXIndia) April 21, 2025
A: We understand the eagerness around the platform restart and truly appreciate your continued patience. Since the beginning, we have communicated that the First Distribution and restart would occur within the… pic.twitter.com/VJtfX4EBLh
The upcoming court decision holds significant weight for the Indian crypto market. A favorable ruling would pave the way for WazirX to reactivate its platform, potentially within 10 business days, according to the exchange’s parent company, Zettai PTE Ltd. The proposed recovery plan involves the distribution of recovery tokens to users, with over 90% of creditors reportedly voting in favor. This initiative aims to restore between 75% and 80% of lost user funds through future operational profits.
Lazarus Group Link and User Compensation at Stake
The massive exploit that crippled WazirX last year was linked to the notorious North Korean hacking collective, the Lazarus Group. The attack specifically targeted the exchange’s Safe Multisig wallet, forcing the suspension of all crypto and fiat withdrawals. This incident remains one of the largest security breaches in India’s cryptocurrency history, sending ripples of concern throughout the digital asset community. The upcoming Singapore court hearing is now the central focus for affected users hoping for a resolution and a return of their assets.
Also Read: WazirX Investors Take Supreme Court Route After $234M Crypto Hack Setback
Indian Users Face Legal Setback Amidst Singapore Progress
While WazirX’s restructuring efforts gain traction in Singapore, victims in India have encountered a legal hurdle. The Supreme Court of India recently dismissed a petition filed by 54 users seeking legal action against WazirX, its founder Nischal Shetty, Binance, and custody partner Liminal. The court reasoned that the matter falls under the broader scope of cryptocurrency policy and advised the petitioners to approach regulatory bodies instead.
Despite this setback for Indian users seeking immediate recourse through the courts, WazirX maintains its April-May timeline for relaunch and the initial phase of compensation, contingent on the Singapore court’s approval. The crypto community is keenly observing WazirX’s potential resurgence, viewing it as a crucial test of resilience in the face of significant security challenges.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
