In a major update, WazirX has submitted its sanction application before the Singapore Court, and the hearing has been fixed for May 13, 2025. This submission is for a WazirX repayment that is a vital milestone in the platform’s continuous restructuring process, after the serious security breach which rocked the crypto space in 2024.
The hack in late 2024 is calculated to have stolen more than $230 million worth of user and platform funds. Early investigations blamed the attack due to a compromise of a private key, even though the technical details breakdown never became public. During the initial aftermath, all user withdrawals by WazirX were halted and the platform began working out a recovery strategy under Singapore’s jurisdiction.
After the hack, WazirX promised users that all recoverable funds would be done as repayment under a court-approved Scheme of Arrangement. The group pledged a user dashboard to monitor claim status, updates on the legal process regularly, and a timeline for reimbursement of the first tranche of users initially estimated to start in the first quarter of 2025.
WazirX Repayment as promised
However, that timeline now lapsed with no payment done. There were sporadic communications, and consumers often complained that they were nervous about the inability to see information about how or when they’d be paid out. No proof-of-reserves or third-party audit was shared, and consumers weren’t afforded a clear account of what form of funds, locked balances or referral bonuses would be paid in the wazirX repayment.
Now that the sanction application has been filed and the date before the court is fixed, the case proceeds to a more formal stage. If the Scheme is sanctioned by the court on May 13, WazirX assures that it will make the first distribution within 10 business days. This would be the first actual step toward rewarding affected users since the mishap.
Although this filing marks progress in the right direction, most of the user base remains skeptical. Delays, poor communication, and lack of transparency in audits have eroded trust. For some, it is only when the funds are received that they will have faith in the platform once again.
Also Read: WazirX Vote Ends: Will Users Finally Get Their Funds or Face Another Setback?
