- On July 18, WazirX revealed that it would reverse all deals after imposing a withdrawal freeze.
- The withdrawal ban came after a well-publicized cyberattack on an Indian cryptocurrency exchange that cost the owners approximately $230 million.
WazirX, an Indian cryptocurrency exchange, declared on July 18 that it would reverse every trade made after its withdrawal ban.
The exchange stated that all users will have their portfolio balances on the WazirX platform returned to their original state on July 18, 2024, at 1 p.m. IST. The next few days will see the action taken.
It further stated that this decision was not taken lightly and that its goals are to safeguard the platform’s integrity and enable a fair resolution for users in the wake of the anomaly brought about by the incident that happened on July 18, 2024.
Around $230 million in cryptocurrency assets were transferred without authorization on that date due to a wallet attack that affected WazirX. The Ethereum multisig wallet of the exchange was the target of the attack. At the time, Elliptic, a blockchain analytics company, stated that the attack was probably carried out by North Korean hackers. Not long after, WazirX stopped trading.
WaxirX attracted a lot of criticism after announcing a socialized loss strategy via a social media poll on July 27. At the time, CoinDCX co-founder Sumit Gupta wrote: “Making customers directly absorb the 45% losses is utter nonsense.” He also added that the vote alternatives are constructed to protect the business first, not the customers.
Disclaimer : This article was created for informational purposes only and should not be taken as investment advice. An asset’s past performance does not predict its future returns. Before making an investment, please conduct your own research, as digital assets like cryptocurrencies are highly risky and volatile financial instruments.
