Major Indian cryptocurrency exchange WazirX may soon revive its operations after a catastrophic $230 million hack last year, if a Singapore court approves its recovery and restructuring proposal.
The platform, owned by Singapore-based Zettai, announced this week it has completed all preparations needed to resume operations and compensate affected users. What stands in the way is a court hearing scheduled for May 13, where a judge will decide whether to approve Zettai’s restructuring scheme, according to the exchange’s post on social media.
In July 2024, WazirX’s multi-signature wallet was drained in a breach attributed to North Korea’s Lazarus Group, a state-sponsored hacking group known for specifically targeting the cryptocurrency industry. Blockchain investigators have tracked some of the stolen funds through mixing services, a common tactic used for laundering.
WazirX Creditors Approve Restructuring Plan
Since then, WazirX has been working to rebuild trust. Earlier this month, it secured support from a majority of creditors: over 93% of those who voted backed the plan, representing nearly 95% of the total value of claims.
The proposal offers users roughly 85% recovery of lost funds. The company also plans to distribute “Recovery Tokens” that may recoup more value over time.
Zettai says it’s pursuing legal actions and forensic tracing to recover the remaining funds. It has promised that distributions and platform access would resume within 10 business days of court approval.
“While we’ve worked to stay aligned with the previously shared timelines, court proceedings operate independently, and we respect that process,”the company’s announcement added.
Meanwhile, the hackers who breached WazirX’s wallet are still being tracked on-chain, having recently been found to be moving a large amount of ether to Tornado Cash, a well-known cryptocurrency mixer, in an attempt to obscure the source of their funds, it appears.
Related: MANTRA Founder Burns $82M in Tokens After $5B Crash, Plans Further Burn to Rebuild Trust
