WazirX: Rebalanced Tokens Live. Distribution Starts After Majority “Vote YES”

February 10, 2025 – We are pleased to announce the completion of the asset rebalancing process. This is a key milestone in addressing the asset deficit caused by last year’s cyberattack that was perpetrated by North Korean hackers. 

Distribution subject to a successful Scheme

Within 10 business days of the Scheme being effective, the platform will restart, though subject to matters such as Court timelines. This distribution, which will be made in tokens, and made available once users vote YES for the Scheme, will represent ~85% of creditors’ Balances, valued as of 18 July 2024 1PM IST. 

If the Scheme is effective in the estimated timeframe, we are pleased to share that this would make it one of the fastest distribution processes in the history of the crypto industry via a scheme of arrangement and position WazirX as an industry leader in recovery efficiency. WazirX would effectively have gotten a scheme of arrangement approved and made a distribution in less than a year since the withdrawal freeze in July 2024 and this would stand out as one of the fastest recovery and distribution processes in crypto history.

Commenting on the development, Nischal Shetty, Founder of WazirX said, “We are grateful to have reached this critical milestone. Completing the rebalancing process and preparing for distribution demonstrates Zettai’s deep commitment to protecting creditor interests and restoring the trust placed in the Platform. By targeting one of the fastest distribution timelines in the crypto industry, we hope to set a precedent for accountability, efficiency, and resilience in times of crisis.”

Subsequent Distributions to Follow

In addition to this, the Scheme envisages subsequent distributions over a period of 3 years as more assets are realized from Illiquid Asset recoveries, including the Stolen Tokens, as well as from available shared profits generated through future operations. These future distributions will be made through the purchase of Recovery Tokens issued to Scheme Creditors. 

As part of the efforts in recovering the Stolen Assets, WazirX had announced that it had successfully frozen the first tranche of Stolen Assets, amounting to approximately USDT 3 million. Along with partnering with law enforcement agencies and investigating authorities, we have engaged a leading blockchain forensics firm zeroShadow to trace and recover the stolen funds, and we are hopeful in our continued efforts to recover the Stolen Assets. 

Commenting on the development, Jarno Laatikainen, COO, zeroShadow said, “Leveraging our expertise and strong relationships with law enforcement agencies, exchanges, and projects, zeroShadow is proud to have played a key role in aiding WazirX to freeze the stolen assets and take a significant step toward recovery for affected users.”

A Transparent and Secure Rebalancing Process

The Rebalancing process, finalized in January 2025, involved comprehensive efforts to align the token denominations of the assets with liabilities associated with the Platform. We have worked closely with financial advisors, specialist brokerages, and other professional teams to execute trades securely and realign holdings.

This milestone reflects our unwavering commitment to protecting creditor interests and restoring trust in the Platform. Our meticulous approach to Rebalancing has ensured that all token distributions are fair, transparent, and aligned with market conditions, which we understand is what users have wanted. 

Commenting on the development – Jason Kardachi, Managing Director and Co-Head of Kroll’s global restructuring practice said “The successful completion of the Rebalancing process underscores the importance of careful planning, collaboration, and a dedication to fairness. Aligning value of assets with liabilities in a volatile crypto market over nearly 350 tokens, many with challenging liquidity profiles, is no small feat, but the approach has maximized transparency and precision throughout. This marks a critical step forward in the recovery process and sets a new benchmark for addressing such complex challenges in the crypto industry.”

Looking Ahead

Zettai’s leadership remains focused on completing the restructuring process and delivering value to its stakeholders. With fund distributions scheduled upon completion of majority users voting YES for the Scheme, and subsequent distributions in the pipeline, Zettai aims to provide creditors with an efficient and secure pathway to recovery.

More From The Press:

• WazirX completes asset rebalancing, token distribution awaits creditor approval
• Cryptocurrency exchange WazirX completes asset restructuring on platform
• WazirX moves closer to recovery as asset rebalancing process concludes
• WazirX completes asset rebalancing process, promises 85% recovery by April
• WazirX: Rebalanced tokens live. Distribution Starts After Majority “Vote YES”
• WazirX rebalances user portfolios as exchange urges investors to support restructuring scheme
• WazirX Says Asset Rebalancing Complete, Invites Creditors to Raise Disputes
• WazirX completes asset rebalancing process, now awaits majority votes to start token distribution

Disclaimer: Cryptocurrency is not a legal tender and is currently unregulated. Kindly ensure that you undertake sufficient risk assessment when trading cryptocurrencies as they are often subject to high price volatility. The information provided in this section doesn't represent any investment advice or WazirX's official position. WazirX reserves the right in its sole discretion to amend or change this blog post at any time and for any reasons without prior notice.