Following backlash from the crypto community, WazirX has abandoned its controversial “55/45” plan to socialize losses incurred from a recent cyber attack.
Points
- WazirX faced backlash over its plan to socialize losses from a recent cyber attack.
- The “55⁄45” plan was intended to share losses between the exchange and its users.
- Co-founder Nischal Shetty clarified the poll was not legally binding.
- WazirX is committed to resolving the issue transparently and seeking community feedback.
Crypto exchange WazirX has faced tremendous criticism for its proposed “55/45” plan to socialize losses incurred from a recent cyber attack. The plan, which suggested sharing the losses between the exchange and its users, sparked outrage among the community, leading to its abandonment.
Community Backlash and Clarification
WazirX co-founder Nischal Shetty quickly clarified that the poll conducted to gauge community opinion on the plan was not legally binding. He emphasized that the poll was merely a preliminary step to understand user opinions and collect feedback.
https://twitter.com/NischalShetty/status/1817886348268716408
Major Cyber Attack
Describing the incident as a major cyber attack, Shetty reassured the community that WazirX is committed to resolving the issue transparently. He stated that the exchange would launch a feedback form to collect more ideas and look into next steps based on the feedback received.
“This is a major cyber attack and we need more time to work on resolution. Your support and feedback will help us navigate this effectively.” – Nischal Shetty
User Concerns and Security Lapses
Users have raised numerous concerns about how WazirX plans to reimburse the victims of the recent hack. Some users have criticized the exchange for selectively answering questions and avoiding the most pertinent issues.
https://twitter.com/TakaSacca19744/status/1819685535436190062
Analysis by Crypto Security Firms
Crypto security firms and analysts have provided insights into how the hack might have occurred. TruthLabs, a well-known analyst, highlighted potential security lapses at WazirX, suggesting that similar multi-signature contracts might have jeopardized user funds.
https://twitter.com/BoringSleuth/status/1819144838157422878
Conclusion
The uproar over WazirX’s plan to socialize losses underscores the importance of transparency and accountability in handling cyber attacks within the cryptocurrency sector. WazirX’s commitment to resolving the issue and seeking community feedback is a step towards rebuilding trust with its users.
解説
- Community Backlash: The strong opposition from the WazirX community highlights the need for transparent and user-friendly approaches in managing losses from cyber attacks.
- Transparency Commitment: WazirX’s commitment to resolving the issue transparently and seeking community feedback is crucial for rebuilding user trust.
- User Concerns: The various concerns raised by users reflect the importance of clear communication and swift action in the aftermath of a cyber attack.
- Security Analysis: Insights from crypto security firms like TruthLabs emphasize the need for robust security measures and accountability in preventing and managing cyber attacks.
- Strategic Response: The incident underscores the importance of strategic responses and transparent practices in maintaining user trust and confidence in cryptocurrency exchanges.