New $70 Million Fund Launched to Support WazirX Hack Victims

Indian crypto exchange CoinSwitch has launched a ₹600 crore ($69.9 million) recovery fund to assist users impacted by the July 2024 WazirX security breach.

This initiative, branded as “CoinSwitch Cares,” aims to support affected users over the next two years while strengthening confidence in India’s cryptocurrency market.

CoinSwitch’s program offers financial relief to users who provide proof of losses, such as account statements from WazirX. Participants can benefit from rewards, including sign-up bonuses and referral incentives, though the exchange currently limits withdrawals to Indian rupees, with crypto withdrawals unavailable.

The recovery fund is self-financed, with CoinSwitch co-founder Ashish Singhal highlighting the company’s solid financial position and commitment to growing the ecosystem. According to Singhal, CoinSwitch is leveraging its resources to ensure the program’s success.

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With over 20 million users already, CoinSwitch hopes to attract up to four million former WazirX users through this initiative. The July 2024 breach, which reportedly involved $235 million in stolen assets, has cast doubt on WazirX’s security practices. By stepping in to support affected customers, CoinSwitch positions itself as a more dependable choice for Indian crypto investors, aiming to reshape the competitive landscape.

Alexander Zdravkov