Indian crypto exchange WazirX has announced a strategy for user fund recovery following a $230 million hack, aiming to minimize disruption and maintain platform stability.
Points
- WazirX launches fund recovery plan after $230 million hack.
- 55⁄45 approach to distribute recovered assets.
- Users offered different options for managing remaining assets.
In response to the recent cyberattack that resulted in the theft of approximately $230 million, Indian crypto exchange WazirX has announced a strategy for user fund recovery.
The hack affected 45% of user funds, leading WazirX to implement measures aimed at minimizing disruption to its users and maintaining the platform’s stability.
Approach to Loss Distribution
WazirX announced in a blog post that it has opted for a 55⁄45 approach. This approach allows users immediate access to 55% of their assets while locking the remaining 45% in Tether （USDT） equivalent tokens.
This method contrasts sharply with the prolonged uncertainty often experienced in similar scenarios. By socializing the loss, WazirX aims to distribute the impact evenly across all users, preventing any single group from bearing a disproportionate burden. This approach is expected to facilitate a faster and more flexible resolution than traditional methods.
WazirX is offering users two different options for managing their remaining assets. Each option has its own set of conditions, which will be communicated to users through the WazirX app or website.
According to the exchange, registered users will receive detailed instructions via email, guiding them through the process of selecting their preferred option. The deadline for response is August 3 at 7:00 am India Standard Time.
Asset Management Strategy
While the poll is not legally binding, the results, ongoing investigations, and the platform’s liquidity will influence the final decision. By participating in the poll, users acknowledge that they have read and unconditionally agree to the terms, remaining bound by WazirX’s Terms of Use.