News 
February 5, 2025 
3 min. 
WazirX creditors are set to decide the fate of the Indian cryptocurrency exchange following a $235 million hack in July 2024. The upcoming vote will determine whether the platform resumes trading under a structured recovery plan or undergoes liquidation under Singapore’s Companies Act. If the restructuring proposal is approved, WazirX could recommence trading by April 2025, with initial payouts to affected users beginning within 10 business days.
Court Approval Paves the Way for Restructuring Vote
A recent statement from WazirX confirmed that the Singapore High Court had granted approval for the exchange to hold a Scheme meeting, allowing creditors to vote on the proposed recovery plan. The plan suggests an immediate 52% debt settlement, while the remaining 48% would be covered through future profits and asset recoveries. To move forward, at least 75% of creditors must approve the restructuring proposal.
Liquidation Risks Could Delay Repayments Until 2030
If creditors reject the plan, WazirX will enter liquidation under Singapore’s Companies Act. This could significantly delay fund recovery, with some estimates suggesting repayments might be postponed until 2030. Industry experts have warned that liquidation could result in unpredictable asset distribution due to market fluctuations and operational challenges, making it harder for affected users to reclaim their funds.
To facilitate debt repayments and restore operations, WazirX has outlined several initiatives, including the launch of a decentralized exchange (DEX) and the introduction of recovery tokens. The proposal also includes periodic buybacks to stabilize the platform’s financial position. Additionally, Net Liquid Platform Assets will be allocated to creditors as part of the recovery effort, ensuring a structured and timely distribution of funds.
A Pivotal Moment for WazirX and Its Creditors
With over 4.4 million creditors involved, the voting process marks a crucial turning point for WazirX. The restructuring plan presents a more immediate path to recovery compared to liquidation, offering creditors a chance to reclaim their funds sooner. The outcome of the vote will ultimately determine whether WazirX can revive trading or be forced into a drawn-out liquidation process.
