A majority of WazirX creditors have voted in favor of the cryptocurrency exchange's post-hack restructuring plan, paving the way for user repayments through a combination of liquid assets and recovery tokens.
Key Highlights:
- 93.1% of voting creditors approved the plan, representing 94.6% of total claim value
- Voting occurred March 19-28 via Kroll Issuer Services platform
- Plan combines USDT liquidity with recovery tokens for partial compensation
Restructuring Plan Details
Creditor Compensation Framework
The approved plan, supervised under Singaporean law, requires WazirX to maintain:
- $566.4 million USDT in liquid assets
- Against total claims of $546.5 million USDT
Compensation will be distributed through:
- Direct repayments: Covering 75-80% of account values at time of hack
Recovery tokens: Representing remaining balances, redeemable through:
- Future platform profits
- Asset recovery efforts
- Planned DEX revenue (launching November 2024)
Security Enhancements
Following the July 2024 attack that stole $234.9 million via Safe Multisig wallet vulnerability, WazirX implemented:
- New custody partnerships with BitGo and Zodia
- Insurance-backed asset protection
- Transition to user-controlled asset storage
Industry Context
Crypto Hack Trends (Q1 2025)
| Attack Type | Losses | Percentage |
|---|---|---|
| Access Control Flaws | $1.63 billion | 81.5% |
| Multisig Exploits | $420 million | 21% |
| Other Vulnerabilities | $1.1 billion | 55% |
Expert Insight
"Digital asset protection requires more than secure on-chain code—the entire infrastructure from frontend interfaces to internal processes must be equally robust. A single weak link can compromise the entire system."
- Hacken Security Team
Frequently Asked Questions
When will repayments begin?
Direct USDT distributions will start within 30 days of plan approval, with recovery token allocations following quarterly.
How does the recovery token system work?
Tokens will be:
- Issued proportionally to outstanding claims
Periodically bought back using:
- 50% of platform profits
- 70% of recovered assets
- DEX transaction fees
What security changes protect against future hacks?
👉 Discover WazirX's new custody solutions featuring:
- Military-grade encryption
- Multi-jurisdictional compliance
- Real-time anomaly detection
Path Forward
CEO Nischal Shetty emphasized:
"Asset recovery remains our top priority, but profit-sharing through our evolving ecosystem will create sustainable value for all stakeholders."
The approved plan marks a critical step in restoring trust after the North Korean-linked attack, with the upcoming DEX designed to:
- Eliminate single points of failure
- Simplify decentralized trading
- Match CEX-level user experience