WazirX Set to Reignite Operations After Court Approves Restructuring Plan

WazirX to Resume Trading Within 10 Days After Singapore Court Approves Restructuring Plan

In a landmark development for India’s cryptocurrency ecosystem, digital asset exchange WazirX is set to resume trading operations within the next ten business days after receiving formal approval from the Singapore High Court for its restructuring plan. The decision, announced by the exchange’s parent company Zettai Pte. Ltd., marks a major step toward user fund recovery and the revival of one of India’s most widely used crypto trading platforms.

The approval concludes a long and complex legal process that began after the platform’s operations were frozen in July 2024 following a catastrophic $234 million cyberattack allegedly carried out by North Korea’s Lazarus Group.

With the court’s green light now secured, WazirX plans to relaunch trading and withdrawals, alongside implementing a structured compensation and recovery program designed to protect users and rebuild trust.

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Court Approval and Legal Process

The Singapore High Court’s decision represents a turning point for Zettai Pte. Ltd., which faced intense scrutiny after the hack that crippled its flagship platform. The restructuring proposal — first introduced earlier in 2025 — was overwhelmingly approved by 95.7% of creditors by number and 94.6% by value during a vote held in August.

Following the vote, the company submitted the formal court order to the Accounting and Corporate Regulatory Authority (ACRA) on October 15, 2025, making the restructuring legally binding on all creditors, including those who abstained from voting.

“This approval marks the end of a long chapter of uncertainty and the beginning of a structured path to financial recovery,” said a spokesperson for Zettai. “Our goal has always been to protect users, maintain transparency, and restore the WazirX platform stronger than before.”

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Trading Resumption Timeline

Under the terms of the approved scheme, WazirX is expected to resume trading and withdrawal services within 10 business days of the effective date. This reopening will be accompanied by a phased repayment plan, ensuring that users who lost funds during the hack receive a fair and transparent recovery process.

The company confirmed that token distributions, including the issuance of Recovery Tokens, will begin shortly after trading resumes. These tokens will serve as a key mechanism for compensating users and facilitating staged repayments.

Users will be notified of repayment timelines, distribution procedures, and platform updates through official channels. “Transparency is central to this recovery,” Zettai said, promising regular updates and audit disclosures.

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Security Reinforcement and Custody Collaboration

Security lies at the heart of WazirX’s comeback strategy. Following the hack, the exchange overhauled its infrastructure and formed a partnership with BitGo, one of the world’s most trusted digital asset custodians. BitGo’s involvement ensures that user assets will be protected under industry-grade security protocols, with segregated cold wallets and multi-signature authentication layers.

According to Zettai, the collaboration is designed to “eliminate single points of failure” and comply with both Singaporean and Indian regulatory expectations. BitGo will also assist in managing recovery token issuance and the buyback mechanisms tied to platform performance.

“BitGo’s involvement brings institutional-level confidence back to WazirX,” said an industry analyst. “It signals to both users and regulators that the exchange is serious about compliance and long-term sustainability.”

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WazirX Recovery Plan: Balancing Speed and Fairness

The WazirX Recovery Plan outlines a two-tier approach to compensate users based on the timing of their deposits relative to the hack.

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• Pre-hack deposits (before July 18, 2024): Users will receive 85% of their balances upfront, with the remaining 15% distributed via Recovery Tokens over a period of 2–3 years.

• Post-hack deposits (after July 18, 2024): Users are eligible for 100% reimbursement, also through the Recovery Token mechanism.

These Recovery Tokens will carry embedded buyback provisions, meaning that if WazirX’s profitability exceeds projections or if more stolen assets are recovered, repayments could accelerate significantly. This structure incentivizes WazirX to recover and grow its ecosystem rapidly while ensuring fairness across the user base.

The exchange stated that it is also working with blockchain analytics firms and law enforcement to trace and reclaim lost digital assets. Several leads remain under investigation, with international cooperation facilitated by Interpol and Indian authorities.

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A Historic Recovery in Global Crypto History

The WazirX restructuring is being hailed as one of the fastest and most organized recovery efforts in the history of global crypto collapses. Compared to past high-profile exchange failures such as Mt. Gox, FTX, and QuadrigaCX, WazirX’s legal and operational turnaround has been remarkably swift.

Legal experts suggest that the Singapore High Court’s decision could set a new precedent for how crypto firms handle insolvency and user fund recovery in the region. “This case demonstrates how structured legal frameworks can coexist with digital finance innovation,” noted legal analyst Priya Deshmukh. “It also shows that transparency, creditor consensus, and judicial oversight can restore stability in a distressed crypto enterprise.”

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A Look Back: The 2024 WazirX Hack

In July 2024, WazirX suffered one of the largest hacks in Asia’s crypto history, losing approximately $234 million worth of assets. Investigations linked the breach to the Lazarus Group, a North Korea–based cybercrime organization known for targeting digital finance platforms worldwide.

Immediately after detecting the breach, WazirX suspended trading, halted withdrawals, and initiated an internal probe. The company engaged cybersecurity experts, law enforcement, and blockchain analytics providers to track the movement of stolen funds. Despite partial asset recovery, the platform faced significant liquidity constraints, forcing Zettai to pursue a restructuring strategy to protect user interests.

Over the following 15 months, WazirX engaged in forensic audits, creditor negotiations, and complex court proceedings in Singapore, culminating in the approval that now paves the way for its relaunch.

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Rebuilding Trust and the Road Ahead

For India’s crypto community, WazirX’s return carries broader implications. The exchange has long been a key player in onboarding millions of Indians into digital asset trading, at one point handling nearly 70% of India’s crypto trading volume. Its recovery is seen as a signal of resilience in a sector that has faced both regulatory and security challenges.

Industry observers note that the exchange’s relaunch could help reignite local market confidence. “WazirX’s comeback could stabilize India’s crypto landscape at a crucial time when regulatory clarity and user trust are paramount,” said blockchain researcher Rohan Menon.

Zettai Pte. Ltd. has also hinted at introducing new security protocols, enhanced KYC procedures, and greater alignment with India’s financial regulators to ensure compliance. The company’s roadmap includes potential partnerships with regional fintechs and plans to list new tokens to diversify liquidity options.

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Conclusion

With the court-sanctioned restructuring now finalized, WazirX’s relaunch marks a rare comeback story in the volatile world of cryptocurrency exchanges. Within ten business days, users can expect full trading and withdrawal functionality to return, alongside the rollout of Recovery Tokens and stronger security measures.

The exchange’s leadership says its mission remains clear: to rebuild with integrity, restore user confidence, and play a central role in India’s fast-evolving digital economy.

As crypto markets recover from a turbulent few years, the WazirX revival underscores a broader truth — resilience and regulation, when combined, can power a new era of responsible crypto innovation.

Writer @Ellena

Erlin is an experienced crypto writer who loves to explore the intersection of blockchain technology and financial markets. She regularly provides insights into the latest trends and innovations in the digital currency space.

 

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