Crypto Heist: WazirX Completes Rebalancing Of Assets

SUMMARY

WazirX said it has completed rebalancing of net liquid assets on the platform and will resume trading within 10 days of the implementation of the restructuring scheme

If creditors approve WazirX’s restructuring proposals, users will receive stolen crypto assets as early as April 2025

However, if the outcome of the meeting, scheduled to be held in the coming weeks, is negative, they will have to wait until 2030 as the process will shift towards liquidation under Singapore’s Companies Act

Hacked crypto exchange WazirX has completed rebalancing of net liquid assets on the platform as part of a restructuring scheme, which will potentially allow users to receive stolen crypto as early as April 2025 if approved by creditors.

In a post on X, WazirX said it has introduced a preliminary creditor list and a snapshot of user balances as of July 18, 2024, when hackers attacked one of its wallets and stole $235 Mn worth of crypto.

“Creditors can now check their claim amount in USD using a unique UUID. The list is ordered by descending value of claims and can be searched using the UUID,” the post read.

Creditors of WazirX are set to vote on whether to approve the restructuring scheme in the coming weeks. The scheme will be implemented if more than 75% of voting creditors by value vote yes.

In a separate post on X, WazirX said it would resume trading within 10 days of the scheme’s activation while returning 85% of users’ crypto reserves on the platform based on rebalancing prices.

WazirX hack victims will begin receiving their stolen crypto as early as April if the restructuring scheme is approved. However, if the outcome of the voting is negative, they will have to wait until 2030 and the process will shift towards liquidation under Singapore’s Companies Act, potentially resulting in lower asset recovery.

Under the proposed scheme, WazirX plans to compensate affected users by rebalancing and distributing net liquid assets on the platform, sharing profits from a potential new decentralised exchange (DEX), and pursuing recovery of stolen assets.

As of December 5, 2024, WazirX held $565.7 Mn in digital assets. Users are seeking damages worth about $546 Mn.

It is pertinent to mention that the Singapore High Court permitted WazirX’s parent Zettai last month to convene a meeting seeking approval for its proposed restructuring scheme from users.

As part of its ongoing recovery efforts, WazirX froze the stolen assets worth $3 Mn in January.

The crypto heist is currently being investigated by multiple government agencies like the Financial Intelligence Unit, Intelligence Bureau, and the Indian Computer Emergency Response Team (CERT-In).