TL;DR
- The Indian exchange WazirX will resume operations on October 24 following approval from a Singapore court.
- The move follows a $235 million cyberattack in July 2024 and a rapid restructuring approved by creditors.
- WazirX will offer 30 days of zero-fee trading and has strengthened its security with custodian BitGo.
The Indian cryptocurrency exchange WazirX announced that it will restart trading this October 24. This decision comes after receiving approval from the Singapore High Court for its creditor-backed restructuring plan, marking a swift recovery after suffering a devastating $235 million cyberattack in July 2024.
WazirX founder Nischal Shetty called the approval a “key milestone,” highlighting that it is “one of the fastest restructurings in the global crypto industry.”
The restructuring became necessary after the July 2024 hack compromised a significant portion of the platform’s assets. This led Zettai Pte Ltd, WazirX’s Singapore-based operator, to seek legal protection and a restructuring plan under the advisement of Kroll.
The plan received overwhelming support in August, with approval from 95.7% of voting creditors (representing 94.6% in value). The Singapore court formally sanctioned the plan on October 13, and it became legally effective on October 15, resolving the uncertainty surrounding the platform’s ownership and the imbalance between liabilities and assets caused by the attack.
A Phased Restart with Strengthened Security
The return to operations will be gradual. WazirX restarts trading with a four-day phased rollout, beginning October 24 and ending October 27. Approximately 25% of the tokens will be enabled each day until full functionality is reached. To incentivize users to return, the platform will offer zero trading fees across all markets for an initial 30-day period.
In this first stage, all tokens will trade in USDT markets. In the Indian Rupee (INR) markets, only the USDT/INR pair will be active initially. As a key measure to bolster trust and security, WazirX has announced a strategic partnership with BitGo, a regulated institutional custodian, to protect user funds.
The exchange is migrating the remaining assets from its former custody partner to new multi-signature wallets. Furthermore, as part of the court agreement, WazirX must disclose wallet addresses and respond to user inquiries.
