Wazirx Will Repay The Creditors Update
Recent weeks have been full of challenges for India's leading crypto exchange WazirX. Amid parent company Zettai's scheme of arrangement being rejected by a Singapore court following the $235 million WazirX hack in July 2024, the exchange has issued a new update assuring its creditors that efforts are underway to find a solution. Although the response was vague, it said that creditors will be paid, but how and when is still a big question.
Steps taken after the court's decision
The scheme of arrangement filed by Zettai in the court under HC/SUM 940/2025 was rejected by the Singapore High Court. This news was a shock to investors and users, but the company took the next step immediately and filed an application for "further arguments" in the court on June 6, 2025.
Zettai has clarified in the post that this petition has been filed before the same judge who heard SUM 940. If the court accepts this petition, then Zettai will have to present further written arguments and oral arguments. The company has promised that it will keep providing every information about this process to the users from time to time.
2024 hacking and lack of transparency
WazirX faced a major cyber attack in 2024, in which digital assets worth about $235 million disappeared. The company tried to shrug off the incident as a “technical glitch”, but millions of ordinary Indian investors had to pay the price for it. Even at that time, neither any transparent investigation came to the fore nor any concrete action was taken against any official.
After this incident, questions started being raised on the transparency of the company. But despite this, WazirX neither made its financial report public nor gave detailed information related to the hacking. This has dealt a severe blow to the company's credibility.
WazirX's shift to Panama, a confusing move
WazirX's parent company Zettai, which was registered in Singapore, has now registered itself in Panama as Zensui Corporation. The move comes at a time when there is already uncertainty about crypto regulation in India. This shift has raised many questions in the minds of Indian investors:
Is WazirX shirking its responsibilities in India?
Are Indian investors now completely unprotected?
Why is there no clarity being given on recovery tokens after the $235 million hack?