WazirX Secures Singapore Court Extension for Restructuring Plan

WazirX, a prominent Indian cryptocurrency exchange, has successfully obtained a court extension in Singapore, which delays the final decision on its proposed restructuring plan. This legal reprieve comes nearly a year after a significant hack in 2024, which resulted in the loss of $234 million and forced the exchange to suspend its operations. The hack, attributed to North Korean cybercriminals, has left users in a state of uncertainty as legal proceedings continue abroad.

The court has extended the original moratorium deadline of June 6, 2025, providing WazirX with additional time to present its Scheme of Arrangement. This plan aims to reorganize the business and compensate users affected by the breach. The extension was granted to allow the exchange to argue its case more thoroughly, ensuring that all aspects of the proposed restructuring are carefully considered.

In March 2025, the proposed plan received overwhelming support from affected users. Over 141,000 creditors, with claims totaling nearly $196 million, voted in favor of the restructuring through the Kroll Issuer Services platform. However, despite the majority support, some users have expressed skepticism regarding the transparency of the process, citing concerns about potential conflicts of interest.

The hack on WazirX was one of the largest crypto-related thefts reported in 2024, highlighting the growing threat of cybercrime in the digital asset industry. The incident has added to the industry's losses, which totaled $2.2 billion in 2024, marking a 21 percent increase from the previous year. This extension has further delayed the court's final ruling, leaving users uncertain about when they will be able to resume using the exchange's services and when they will receive compensation for their losses.

WazirX has been actively working on its recovery strategy, and the recent court extension has renewed user expectations. However, the delay has also increased anxiety among users, who are eagerly awaiting the court's subsequent order to understand how the exchange will proceed with reimbursing the affected parties. The court's decision will be crucial in determining the future of WazirX and its ability to regain user trust and confidence.