WazirX eyes comeback from $230 million hack, pending key May 13 court ruling

Indian crypto exchange WazirX aims to restart its trading platform following a $230 million hack, contingent on a Singapore High Court ruling regarding its restructuring and customer compensation plan.

“Zettai has completed all prior required steps, and the next key step is the sanction hearing,” WazirX said in an X post on Monday. Zettai is WazirX’s parent company headquartered in Singapore.

On July 18, 2024, cryptocurrency exchange WazirX reported a major cyber attack targeting its multi-signature wallet, resulting in a loss of over $230 million.

The exploit has been attributed to North Korean hacker organization Lazarus Group, which was also behind the $1.4 billion crypto heist on Bybit exchange. Some of the stolen funds have been transferred to crypto mixers for laundering, a typical process seen in North Korea-linked hacks.

Earlier this month, WazirX announced that 93.1% of voting creditors, representing 94.6% of the total claim value, voted to approve Zettai’s proposed restructuring scheme. The plan offers creditors an estimated 85.3% recovery of their lost balances, with additional Recovery Tokens issued and distributed for further value recovery.

“Structured plans are in place to recover stolen and illiquid assets, including forensic investigations and legal actions, and they are intended to be continued alongside the proposed Scheme,” WazirX said in a February post.

In Monday’s update, the exchange stated that if the court approves the scheme, the initial distribution to customers and the platform’s restart will take place within 10 business days.

“While we’ve worked to stay aligned with the previously shared timelines, court proceedings operate independently, and we respect that process,” the announcement said.