WazirX’s bid to restructure and compensate victims of a $230 million hack has been rejected by the Singapore High Court, putting the exchange’s recovery roadmap in limbo.
The crypto platform, which suffered the massive loss in July 2023 during an attack attributed to North Korea’s Lazarus Group, had sought court approval for a restructuring plan backed by over 93% of its creditors.
Parent company Zettai claimed earlier this year that approval would have enabled swift initial repayments within 10 business days of activation.
In a statement released Wednesday, WazirX confirmed the court’s decision and said it is actively weighing an appeal.
“Our main priority is to begin distributions promptly,” the company noted, adding that legal teams are now exploring available options.
The court’s refusal adds fresh uncertainty to the exchange’s recovery timeline, despite broad creditor support for the proposed plan.
Geopolitical conflict rattles markets, but history shows panic selling crypto in response is usually the wrong move.
Bitcoin-focused investment firm Strategy Inc. (formerly MicroStrategy) is facing mounting legal pressure as at least five law firms have filed class-action lawsuits over the company’s $6 billion in unrealized Bitcoin losses.
Digital banking platform SoFi Technologies is making a strong return to the cryptocurrency space, relaunching its crypto trading and blockchain services after stepping away from the sector in late 2023.
Digital assets are gaining ground in corporate finance strategies, as more publicly traded companies embrace cryptocurrencies for treasury diversification.