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WazirX Set to Return $235M After Hack as Final Vote Triggers Payout Plan

WazirX Set to Return $235M After Hack as Final Vote Triggers Payout Plan

  • Final vote will unlock $235M in user fund distribution.
  • Zanmai India to handle payouts under updated recovery plan.
  • WazirX plans Proof-of-Reserve to rebuild user trust.

WazirX is preparing to distribute over $235 million to users as it moves closer to completing its recovery from a devastating cyberattack. The Indian crypto exchange has finalized its restructuring process in Singapore and confirmed a final revote will soon be held to activate the fund payout plan.

This vote will approve a minor but essential change to the restructuring scheme, shifting fund distribution responsibilities to Zanmai India. Zanmai is registered with India’s Financial Intelligence Unit and will oversee the process directly, eliminating the need to move operations to an offshore entity.

According to WazirX co-founder Nischal Shetty, the change requires a new round of voting even though 91 percent of creditors had already supported the initial plan. The final vote will formally approve the updated distribution strategy and trigger the next phase of user reimbursements.

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Following the hack, WazirX faced a steep asset shortfall and lacked the resources to cover the loss immediately. Unlike Bybit, which absorbed its breach using reserves, WazirX has opted for a phased restart to recover user funds over time. Court filings revealed the exchange has a 45 percent gap between assets and liabilities.

To rebuild trust, WazirX will also introduce a Proof-of-Reserve system after resuming operations. This system will publicly display the company’s holdings and demonstrate solvency on an ongoing basis.

Proof-of-Reserve and Phased Recovery Aim to Rebuild Confidence

With the restructuring framework now complete, the upcoming vote is the final step before user funds can begin returning. WazirX will issue the revote date shortly, and distribution is expected to begin within weeks after approval.

The exchange continues to face pressure from competitors like Binance, which has expanded its presence in India with proper licensing. WazirX is also addressing legal action from certain creditors in Singapore.

Despite these obstacles, the management team is focused on restarting operations and prioritizing user payouts. Shetty confirmed that completing the revote and restoring access to funds remains the company’s top priority.

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