WazirX Restructuring Plan Rejected by Singapore Court — What It Means for Affected Users
The long-awaited payout process from Indian crypto exchange WazirX has hit a major roadblock. The company announced that the Singapore High Court has declined to approve its restructuring proposal, delaying creditor repayments once again.
“This outcome was not what we anticipated,” WazirX said in a message to users. “We remain committed to distributing assets as soon as possible while complying with legal processes.”
The rejected plan included several initiatives:
- Launch of a new decentralized exchange
- Issuance of recovery tokens
- Liquidity buyback mechanisms
- Creditor payouts that were expected to begin in April 2025
Now, with no alternative plan in place, users face further uncertainty. Under Singapore’s corporate law, WazirX could be pushed into compulsory liquidation if it fails to secure court approval for a new strategy—potentially reducing user recoveries even more.
The exchange has already been under fire from the community for poor communication, limited updates, and restrictions on public discussions surrounding the case. Many users say they’ve been left in the dark about the status of their funds.
WazirX was hacked in 2024 for $230 million, in an attack linked to North Korea’s Lazarus Group. It was once India’s leading exchange by volume but has since seen its reputation deteriorate sharply.
What You Can Do:
- Stay updated via official WazirX announcements
- Avoid phishing links or unsolicited recovery schemes
- Consult with legal or financial advisors if you are a major creditor
- Consider diversifying holdings to mitigate risk from centralized platforms
We’ll continue to monitor this story and provide updates as new legal proceedings unfold.
