Crypto Community Suggests WazirX Accept All Conditions and Hand Over Full Control to Binance
Two months ago, WazirX was a leading cryptocurrency exchange in India. However, it is currently facing significant difficulties as its cold wallet was hacked by an unknown attacker 1.5 months ago. The cryptocurrency exchange is currently taking significant legal action to protect itself from liability by seeking legal immunity in Singapore through a scheme of arrangement. This legal maneuver aims to shield the platform from various financial liabilities, raising concerns among its users.
On September 13, 2024, a Crypto X account dedicated to representing WazirX clients following the hacking incident reported that WazirX plans to refund users only 40-55% of their funds, starting six months after securing legal immunity. These refunds would be distributed in small installments of 5-10% over several months or even years. The exchange claims that offering the 55% upfront would hurt them financially. Instead, they intend to use the remaining user funds to keep WazirX afloat and attract new users, potentially continuing a cycle of partial refunds. According to this critic, WazirX’s strategy is designed to benefit WazirX’s leadership at the expense of its customers. The platform’s survival appears to depend on attracting new users while existing customers are left waiting for their full refunds. Many believe that once users receive partial refunds, they will likely leave the platform, leaving WazirX dependent on a new influx of traders. Liquidate with Binance under any conditions WazirX is allegedly using Binance’s reputation for personal gain, but some voices in the crypto community argue that Binance should acquire WazirX outright without any conditions.
