WazirX to Return 85% of Stolen Crypto Funds After Rebalancing

WazirX, a leading cryptocurrency exchange in India, has announced that it will return 85% of the stolen user funds following the completion of its asset rebalancing process on Tuesday. The exchange suffered a security breach in July 2024, resulting in the loss of over $230 million in various cryptocurrencies, including shiba inu (SHIB) and ether.

The rebalancing process, which began in February 2025, has allowed WazirX to distribute the recovered assets to users. The first round of distributions is expected to take place in April. Users can now check their allocated share on the WazirX app and website.

The exchange has proposed a refund plan that involves launching a decentralized exchange (DEX), issuing recovery tokens, and performing a periodic buyback of recovery tokens using platform profits and new revenue streams over the next three years. However, the plan requires a majority vote of 75% from creditors by February 19 to move forward.

If the scheme is not approved, the restructuring plan may fail, and the process could move towards liquidation under section 301 of the Singapore Companies Act. This could potentially lead to a fire sale of assets and creditors receiving less compensation as assets are sold off at possibly lower values.

The security breach in July 2024 led to over $100 million in SHIB and $52 million in ether being drained from the exchange. The stolen funds accounted for over 45% of the total reserves cited by the exchange in a June 2024 report. The North Korean hacking unit Lazarus is believed to be behind the attack.