Key Takeaways
- WazirX CEO posts on X for the first time after the Singapore court declined its restructuring plan.
- Nischal Shetty claimed the court has agreed to a revised plan but will need a creditor revote.
- The exchange was hacked for $230 million a year ago.
For the first time since WazirX’s restructuring plan was rejected by a Singapore court, CEO Nischal Shetty has spoken out, posting an update on X and outlining the path forward for the beleaguered exchange.
The crypto exchange, which was hacked for $230 million in July 2024, has struggled to regain footing amid legal setbacks and investor frustration.
On Wednesday, Shetty addressed concerns, blaming new crypto regulations in Singapore for the initial court rejection and confirming a revised plan is in the works.
Top Trending Crypto Articles
Revote Incoming After Court Reverses Course
In his post, Shetty confirmed that the Singapore High Court has now agreed to consider a revised restructuring proposal, on the condition that WazirX creditors cast a new vote.
“The broad amendment is that instead of Zettai, it will be Zanmai helping with the fund distribution if the scheme is approved,” Shetty wrote. “The team will move fast when launching a revision. We will announce the voting date soon.”
The plan replaces Zettai, a Singapore-based entity previously responsible for handling distributions, with Zanmai, an Indian FIU-registered firm that already manages INR-crypto trading pairs on the platform.
The shift may help address regulatory concerns around fund management and compliance.
If approved by creditors, Shetty says fund distribution could resume “within weeks.”
Hack Fallout Still Haunts the Platform
WazirX’s July 2024 hack dealt a massive blow to its reputation, but criticism hasn’t only been about the theft itself.
The exchange was widely accused of mishandling customer funds, prioritizing legal expenses over reimbursements, and using the court process to pressure victims into choosing between waiting years for liquidation or footing the bill to reopen the exchange.
While Shetty has promised swift action before, many users remain cautious. Previous assurances went unanswered for weeks at a time, leaving hack victims without clarity or access to funds.
Still, the introduction of a regulated, India-based firm like Zanmai may help restore some confidence.
If the amended proposal passes, it could mark a turning point in one of India’s most high-profile crypto recovery sagas.
Top Trending Crypto Articles
Prashant Jha is a seasoned crypto journalist based in Delhi, India, with a Bachelor’s Degree in Computer Science Engineering. Passionate about the evolving world of blockchain and cryptocurrencies, he has been a dedicated voice in the industry since 2018. Prashant’s expertise lies in regulatory reporting, where he unravels complex legal and financial developments with clarity and precision. Before joining CCN in 2024, he honed his craft at Cointelegraph, establishing himself as a trusted name in crypto journalism.
His coverage spans major industry events, including the high-profile collapses of FTX, Three Arrows Capital (3AC), and LUNA, offering readers insightful analyses of their regulatory and market implications. Prashant’s technical background enables him to bridge the gap between intricate blockchain technology and its real-world applications, making his work accessible to novices and experts.
Beyond his professional pursuits, Prashant is an avid music enthusiast, often exploring diverse genres to unwind. A sports lover, he has a particular passion for cricket and frequently engages in discussions about the game. His multifaceted interests and sharp journalistic instincts make him a valuable contributor to CCN, where he continues shaping the crypto landscape's narrative.
