Indian crypto exchange WazirX has expressed concerns over external factors it believes are impacting its recovery efforts.
The exchange announced a restructuring plan aimed at improving financial stability and bolstering the security of its users’ assets, which prompted some criticism.
External interference
In a public statement on X, WazirX addressed the ongoing restructuring process, suggesting that certain external parties may be contributing to delays. The exchange expressed concerns that these entities might be prolonging the process, which has been ongoing since WazirX was hacked.
WazirX is in the process of implementing a phased plan to restore its financial operations. This plan includes reinstating Indian rupee withdrawals, which will begin on a staggered basis starting Monday, Aug. 26.
Source: WazirX India Ka Bitcoin Exchange
Additionally, the exchange announced a 60% reduction in withdrawal fees to alleviate the financial burden on its users. The restructuring plan also emphasizes the importance of security protocols to prevent future vulnerabilities.
Legal recourse in Singapore
WazirX’s restructuring efforts include pursuing legal proceedings in Singapore, where the company has selected the jurisdiction for its legal restructuring process. This includes implementing a court-approved scheme of arrangements.
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This legal framework allows WazirX to negotiate fair and equitable terms for all parties affected by the hack, ensuring that the asset distribution process adheres to legal standards.
WazirX experienced a significant setback on July 18 when a multisignature wallet holding approximately $234 million of investor funds was targeted in a hack.
In response to the WazirX breach, India’s Bharat Web3 Association has emphasized its commitment to enhancing cybersecurity measures and safeguarding consumers in the crypto industry.
The Financial Intelligence Unit of India’s Ministry of Finance issued notices to several cryptocurrency exchanges in December 2023, claiming they operated illegally and failed to comply with Anti-Money Laundering requirements.
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