WazirX Offers Creditors Two Choices: Approve Recovery Plan Now or Wait Until 2030

Creditors of WazirX, the once-dominant Indian crypto exchange, are faced with a crucial decision—accept a court-approved recovery plan for partial refunds starting in April 2025 or risk waiting until 2030 for uncertain payouts.

The exchange, which suffered a devastating $230 million hack in July 2024 attributed to North Korea’s Lazarus Group, has proposed a restructuring plan. If at least 75% of creditors (by value) vote in favor, WazirX will resume operations and begin distributing available assets within 10 business days of the plan’s activation.

The recovery plan includes:

• The launch of a decentralized exchange (DEX)
• Issuing tradeable recovery tokens
• A structured buyback program using platform profits

However, if creditors reject the plan, WazirX will face liquidation under Singapore’s Companies Act, leading to the forced sale of assets—potentially at steep discounts—resulting in lower returns for creditors.

The hack, which saw funds laundered through Tornado Cash, severely damaged WazirX’s financial standing and reputation. The company secured court approval in January 2025 to proceed with restructuring rather than full liquidation.

Now, creditors must decide: accept an active recovery strategy with phased payouts, or gamble on a lengthy liquidation process that could take years to yield uncertain returns.