Singapore Court Approves WazirX Revote on Revised Creditor Scheme

The Singapore High Court has approved WazirX's request to conduct a revote on the amended creditor scheme proposed by its parent firm, Zettai. This decision reverses the court's previous ruling from June 4, which had rejected WazirX’s restructuring proposal. The revised plan aims to address earlier regulatory objections, particularly concerning Panama-based Zensui and its compliance under Singapore’s Financial Services and Markets Act (FSMA).

Under the amended scheme, Indian-registered Zanmai Labs will now oversee all distributions to creditors and users, replacing Zettai and Zensui in handling fund disbursement and core operations. This structural shift towards a locally regulated operator appears to have been a key factor in swaying the court's decision. The moratorium on Zettai has also been extended, granting the company temporary relief from legal actions as it prepares for the upcoming creditor vote. The court confirmed that all previous concerns raised during the June proceedings have been addressed in the updated filing.

Zettai has expressed its commitment to completing the revote process as soon as possible. If approved by the requisite creditor majority and sanctioned by the court, the WazirX platform will reopen, and distributions will begin under the proposed scheme promptly. The creditors’ vote will be crucial in securing the approval of the scheme and moving forward with the First Distribution. The revote is expected to take place in the coming weeks.

The crypto industry has evolved significantly since the hacking incident that affected WazirX. At the time of the hack on July 18, 2024, Bitcoin was trading around $60,000-$70,000. As of now, the price of Bitcoin has reached an all-time high above $123,000, with an average trading price of $118,862 at the time of the report.