WazirX Hack Update: Singaporean Court Approves Company’s Restructuring Plan

WazirX came up with a restructuring plan to repay 80% user funds lost in a major cyberattack. And the Singapore High Court has ruled in the favor of WazirX’s parent company, Zettai Pte Ltd. The ruling allows the company “to distribute assets associated with WazirX to users, and to revive operations of the platform.”

On 23 January 2025, WazirX announced in a press release that “the Court granted a 16-week moratorium to Zettai, which provides the necessary time and legal protection to carry out the restructuring process.”

Explore:Crypto Developments In Asia: WazirX’s Attack Linked To North Korea

The Breach That Shook Confidence In The Exchange

The case stems from a major security breach that occurred on WazirX’s platform. Hackers exploited vulnerabilities in the exchange’s infrastructure, siphoning off millions of dollars worth of cryptocurrencies from user accounts. 

The incident sparked outrage among investors. Furthermore, it raised questions about the security measures employed by crypto platforms operating in India.

Affected users filed legal complaints against WazirX. They accused the exchange of negligence and failing to implement adequate safeguards to protect their assets. Netizens and affected users have relentlessly expressed their anger on X. 

Day 5- WazirX Return My Money

Like , Retweet and follow for support against WazirX #WazirxScam #WazirX #WazirXIndia #WazirXhack pic.twitter.com/1MDUr4wzf7

— Virendra Patel (@PatelViren1629) January 27, 2025

However, the Singaporean court found that “there was no abuse of process.”  Furthermore, “there was no proper or sufficient evidence presented before the Court of wrongdoing or misconduct, contrary to suggestions made by certain users of the platform that Zettai had orchestrated the cyberattack.”

This is important to WazirX as the North Korean Lazarus group was found to be responsible for the cyberattack.

In fact, in a display of trilateral cooperation, US, Japan and South Korea issued a joint statement warning the global cryptocurrency industry about the escalating threat posed by cyberattacks linked to North Korean actors. The announcement was made on 14 January 2025.

“The United States, Japan, and the Republic of Korea advise private sector entities, particularly in blockchain and freelance work industries, to thoroughly review these advisories and announcements to better inform cyber threat mitigation measures and mitigate the risk of inadvertently hiring DPRK IT workers,” the joint statement read.

Explore: WazirX, Binance Named In India’s $97 Million Crypto Tax Probe

Can CoinDCX Acquire WazirX?

Is CoinDCX ready to acquire WazirX. “Honestly, it is not in my hands,” said Sumit Gupta, CEO and co-founder of CoinDCX. “There are many court proceedings and other factors. But we remain open to the idea of helping impacted customers.”

Talking about the security breach at WazirX, Gupta recently said, “All I know is that Indian customers have been impacted due to security breach and that also directly impacts user sentiment.”

Gupta insisted that CoinDCX is ready to put money out of its pocket to compensate for whatever loss WazirX suffered.

Criticising the way WazirX handled the security breach, Gupta said, “In case of WazirX, I believe they could have handled it better. In our case, we have implemented robust measures to safeguard our customers in the unlikely event of an incident.”

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