WazirX plans comeback after $234M hack, with court hearing in Singapore on May 13 to determine future recovery plans - IcoHolder.

India’s leading cryptocurrency exchange, WazirX, is preparing for a major comeback after being rocked by a massive $234 million hack in July 2024. The exchange, which has been largely dormant since the attack, confirmed it is ready to resume operations, with a crucial court hearing set for May 13, 2025, in the High Court of Singapore. The outcome of this hearing could determine the future of WazirX’s restructuring and user compensation plans.

The hack, attributed to North Korea’s notorious Lazarus Group, targeted WazirX’s Safe Multisig wallet, causing the exchange to suspend all crypto and fiat withdrawals. This attack remains one of the largest security breaches in India’s crypto history, sending shockwaves through the nation’s digital asset ecosystem.

Should the Singapore court rule in WazirX’s favor, the platform’s parent company, Zettai PTE Ltd, plans to resume operations within 10 business days. The recovery plan includes issuing recovery tokens to affected users, with over 90% of creditors already voting in support of the proposal. This plan aims to restore approximately 75-80% of user funds using profits from the exchange’s future operations.

However, while progress is being made in Singapore, WazirX faces legal setbacks in India. The country’s Supreme Court recently dismissed a petition from 54 victims of the hack, who sought legal action against the exchange, its founder Nischal Shetty, Binance, and custody partner Liminal. The court directed the petitioners to approach regulatory bodies instead, stating that the matter falls under broader crypto policy.

Despite these legal hurdles, WazirX has maintained its commitment to relaunching between April and May 2025. With most of the necessary groundwork already completed, the exchange is poised to begin its recovery, pending the court’s approval. A favorable ruling in Singapore would mark the official return of WazirX, with a renewed focus on security and user recovery.

The platform’s comeback will be closely scrutinized, serving as both a test of its resilience and a case study for other exchanges looking to recover from major security breaches.