DISTRESS CALL: HACKED WAZIRX DIALS BINANCE FOR LIFELINE 🤣
So, this was coming. I had a gut feeling and without the help of Binance they'll be unable to refund customers. So here it goes:
📰 WazirX has approached former partner Binance for help in bailing out customers affected by the $230-million cyberattack. Industry sources told Moneycontrol that Binance controls a surplus of WazirX's revenue and its WRX token.
As of the date of the hack, that is July 18, Binance had around $80 million worth of WRX tokens. This, inadvertently, affected WazirX's capability to use its own funds to pay back some part of the customer assets that were stolen, according to a source mentioned above.
“Their legal dispute is still ongoing. There are components of WazirX's business which are still under Binance's control, including the revenue -- the surplus of it. Even its WRX token is under their control. So they have reached out to Binance and the talks are on but at early stages,” the source said.
“Furthermore, the wallets holding locked and released WRX tokens are also managed and controlled by Binance, including the release of such tokens based on the WRX Release Schedule,” it added.
WazirX declined to comment on this development, and Binance is yet to get back on the emailed queries sent by Moneycontrol. Any responses from these exchanges will be updated to reflect in the article.
⚖️ LEGAL DISPUTE
The spat between world's largest crypto exchange Binance and the India's largest exchange WazirX started back in August 2022, when the Enforcement Directorate (ED) had frozen bank assets of WazirX worth Rs 64.67 crore in relation to allegedly assisting a bunch of accused loan apps in money laundering and fraud through the transfer of virtual crypto assets.
Following this, Binance's CEO Changpeng Zhao (CZ) took to X (then Twitter) to clarify that his firm didn't own any equity in WazirX and nor did it control its operations.
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