WazirX presents plan to recover ₹1,965 crore lost in cyberattack, awaits court’s approval

WazirX, a prominent cryptocurrency exchange in India, has proposed a plan to recover the ₹1,965 crore it lost in a cyberattack. This massive amount was lost due to a hacking incident that targeted the platform’s security systems.

In response, WazirX is likely looking to implement strategies that would help mitigate the losses and restore users' trust. These could include offering compensation to affected users, improving the platform’s security measures, working with regulatory authorities to ensure compliance and enhance safeguards, or potentially seeking external financial assistance or insurance claims. The proposal aims to find ways to recover the lost funds while ensuring better protection against future cyber threats.

WazirX parent firm Zettai Pte said that 93 per cent of the users who lost USD 230 million in the cyber attack have voted in favour of the proposed restructuring scheme aimed at expediting the recovery of the stolen assets.

However, Zettai awaits sanction from the Singapore High Court, a step necessary for implementing the scheme, paving the way for the platform to resume operations.

The cryptocurrency trading platform has stopped operations since July 2024 following the cyber-attack that led to an erosion of over USD 230 million assets of its users. The firm in January this year had got the permission from the Singapore High Court to convene a meeting with creditors (users) to present and conduct a voting on the proposed scheme.