Tornado

WazirX

<a href="https://coinpedia.org/exchange/wazirx-bitcoin-exchange-india/" target="_blank" rel="noreferrer noopener">WazirX, India’s biggest crypto exchange</a>, has been granted a <a href="https://www.coindesk.com/policy/2024/09/26/singapore-court-grants-wazirx-four-month-conditional-moratorium-source/" target="_blank" rel="noreferrer noopener nofollow">four-month conditional moratorium</a> by the Singapore High Court after the <a href="https://coinpedia.org/news/breaking-indian-crypto-exchange-wazirx-hacked-for-235m-are-your-funds-safu/" target="_blank" rel="noreferrer noopener">$234 million hack</a> on July 18, 2024. The hack, which resulted in a 45% loss of customer funds, has left WazirX in a tough financial situation. The moratorium offers temporary relief, but with strict conditions set by the court.   
This makes it possible for the exchange to exit restructuring for the time being, but under the strict condition that the court has placed.   
It's a high-stakes drama. What will happen next? Discover below.   
<h2 class="wp-block-heading" id="h-court-s-conditions-for-wazirx">Court's Conditions for WazirX</h2>   
Under the court’s ruling, WazirX must disclose its wallet addresses through a legal affidavit. It also has six weeks to respond to user questions and prepare a full set of its accounts. Future votes on any restructuring plans must be handled through an independent system to ensure fairness.   
This ruling comes after WazirX sought a six-month suspension following the hack. Legal proceedings concluded last Thursday, with the judge acknowledging that the exchange acted in good faith by seeking help through the courts.   
The hacker has already laundered most of the stolen funds using <a href="https://coinpedia.org/news/wazirx-hack-update-tornado-cash-used-to-launder-nearly-all-of-230-million-in-stolen" target="_blank" rel="noreferrer noopener">Tornado Cash</a>, leaving only <a href="https://coinpedia.org/news/wazirx-hack-update-tornado-cash-used-to-launder-nearly-all-of-230-million-in-stolen" target="_blank" rel="noreferrer noopener">$6 million left in Ether</a>. This has made it very difficult for WazirX to track and recover the stolen assets.   
<h2 class="wp-block-heading" id="h-challenges-ahead">Challenges Ahead! </h2>   
WazirX’s legal advisors have stated that customers shouldn’t expect to get their lost funds back in crypto. However, the exchange is under pressure to provide solutions to its users during this period as it continues to face challenges.   [post_titles_links postid="353675"]   
While the court’s moratorium provides some breathing room, WazirX faces a long road to recovery. Rebuilding trust with its users and investors remains a major hurdle, and it’s unclear if the exchange will be able to regain that confidence.   
Will WazirX be able to regain the trust of its users and investors, or will this scandal mark the end of the business? It's a ticking time bomb. Tell us what you think.

Coinpedia Fintech News

Table of Contents

CoinPedia News

Other articles published on Sep 26, 2024

Bitget Wallet Rises to the Most Downloaded Web3 Wallet, Outlining Roadmap for Social and Payment ...

South Korea Fines Worldcoin $830,000 over Data Violations

Ripple Faces Potential New Legal Challenge

Solana Gains as Market Interest Rises

Coinpedia Fintech News

Mawari Raises $10.8 Million Strategic Funding to Scale Spatial Computing

Join our free newsletter for daily crypto updates!