The Singapore High Court has officially sanctioned a restructuring proposal for cryptocurrency exchange WazirX, paving the way for the platform to resume full operations and initiate compensation procedures for affected users. This judicial endorsement comes in response to a significant security incident that resulted in approximately $234 million in losses.
The court’s decision enables WazirX to implement its recovery strategy, which includes restoring trading services and establishing a comprehensive reimbursement framework for over 150,000 impacted account holders. The exchange had temporarily suspended certain operations following the security breach to conduct thorough internal investigations and develop protective measures.
Legal representatives for WazirX confirmed that the approved restructuring plan incorporates enhanced security protocols and revised operational procedures designed to prevent similar incidents. The exchange has committed to transparent communication throughout the compensation process, with detailed timelines for fund distribution to be released in the coming weeks.
This development marks a crucial milestone in WazirX’s recovery efforts, demonstrating regulatory cooperation in addressing cybersecurity challenges within the digital asset sector. The court’s oversight ensures that user protection remains paramount throughout the rehabilitation process, setting a precedent for handling similar cases in the cryptocurrency industry.
