Key Takeaways
- WazirX claims 95.7% approval in a re-vote on its amended restructuring plan.
- The votes were independently verified and now await final court approval.
- The exchange faces backlash for allegedly using deceptive tactics to secure approval.
Indian crypto exchange WazirX says creditors have overwhelmingly backed its latest restructuring plan, but doubts continue to cloud the process.
The exchange, which collapsed after a $230 million hack in 2024, claims nearly 96% approval in a re-vote of its restructuring scheme.
Yet, many in India’s crypto community remain unconvinced, accusing the exchange of using pressure tactics and misleading practices to push the plan through.
WazirX Claims 95.7% Approval
In a blog post, WazirX announced that 95.7% of scheme creditors and 94.6% of approved claims voted in favor of its amended restructuring plan.
The exchange said the votes were independently verified by Joshua Taylor and Henry Anthony Chambers of Alvarez & Marsal (SE Asia) Pte Ltd.
The high approval rating has drawn skepticism.
Social media polls from users tracking the vote suggested far more opposition, with many victims of the hack calling for a “no” vote.
This isn’t the first time WazirX has faced such accusations.
Its original plan—also claiming over 96% approval—was rejected by a Singapore court last year for presenting misleading information.
Users argue the plan shortchanges victims, offering payouts based on token prices from July 2024—when the market was down more than 50% from current levels.
A Game of Deception?
The $230 million hack exposed serious lapses at WazirX, which had kept more than 40% of customer funds in a single wallet.
However, for many users, the real damage came afterward.
Following the hack, WazirX froze withdrawals of both crypto and INR deposits.
It later relocated operations to Singapore and began pushing a restructuring process critics say was designed to protect the exchange, not its users.
Among the allegations:
- Creditors initially weren’t given a “no” option when voting.
- Funds were allegedly moved to other exchanges and liquidated to finance WazirX’s legal fight.
- The payout plan puts the bulk of losses on customers while WazirX looks to fund new ventures, including a planned decentralized exchange (DEX).
The exchange also warned that rejecting the plan in favor of liquidation could delay payouts by 3–5 years, a move critics say was intended to pressure victims into compliance.
For now, the amended plan awaits a final ruling in Singapore.
Whether the court will approve it—or again side with skeptics—remains to be seen.
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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.
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