WazirX is moving forward with a new repayment plan that has received strong backing from its creditors, more than a year after a $234 million hack froze withdrawals on the exchange.
Nearly 95% of those who voted supported the proposal, even though an earlier version had been turned down by the Singapore High Court.
Between July 30 and August 6, close to 150,000 creditors cast their votes. Together, they represented more than $206 million in claims. This approval gives WazirX the chance to resubmit its plan to the court, which will decide if repayments and normal operations can restart.
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Founder Nischal Shetty stated in an August 18 blog post that, if the court approves, the exchange will reopen and begin compensating users within ten days of the scheme taking effect.
His statement offered a faster timeline than what creditors were told at a July town hall, where restructuring adviser George Gwee of Kroll estimated payouts would take two to three months after approval.
The updated plan also shifts responsibility for handling repayments. While profits from WazirX will still fund the repurchase of recovery tokens, the actual distribution will be carried out through Zanmai India, which reports under India’s Financial Intelligence Unit.
WazirX has warned that, without a creditor-backed deal, the alternative would be liquidation. That process could take years, with payouts potentially delayed until 2030.
On August 13, GMX, a decentralized exchange (DEX), began compensating users who lost funds in a July security breach. How? Read the full story.
