Indian crypto exchange WazirX has criticized external forces that it claims are deliberately hindering its recovery efforts.
The criticism came after the exchange announced a comprehensive restructuring plan designed to restore financial stability and enhance the security of its users’ assets.
External interference
In the public statement on X, WazirX criticized unnamed external parties for allegedly attempting to prolong the restructuring process. The exchange claimed that the entities are motivated by a desire to maintain uncertainty and complicate the resolution WazirX has been striving to achieve since it was hacked.
WazirX is in the process of implementing a phased plan to restore its financial operations. This plan includes reinstating Indian rupee withdrawals, which will begin on a staggered basis starting Monday, Aug. 26.
Source: WazirX India Ka Bitcoin Exchange
Additionally, the exchange announced a 60% reduction in withdrawal fees to alleviate the financial burden on its users. The restructuring plan also emphasizes the importance of security protocols to prevent future vulnerabilities.
Legal recourse in Singapore
WazirX’s restructuring efforts are further complicated by its decision to pursue legal recourse in Singapore. The company has chosen Singapore’s jurisdiction for its legal restructuring process, opting for a scheme of arrangements that has received court approval.
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This legal framework allows WazirX to negotiate fair and equitable terms for all parties affected by the hack, ensuring that the asset distribution process adheres to legal standards.
WazirX suffered a major blow on July 18 when a hack targeted a multisignature wallet containing nearly half of the investor funds worth around $234 million.
Following the WazirX breach, India’s Bharat Web3 Association has redoubled its commitment to strengthening cybersecurity measures and protecting crypto industry consumers.
The Financial Intelligence Unit of India’s Ministry of Finance issued notices to several cryptocurrency exchanges in December 2023, claiming they operated illegally and failed to comply with Anti-Money Laundering requirements.
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