Coinswitch’s recent move against WazirX has stirred up a lot of controversy in the Indian crypto space. It has been noted that Coinswitch’s actions are solely focused on the funds they were holding on the WazirX exchange and not on the well-being of WazirX customers who were affected by the recent hack.
The hack that occurred two months ago at WazirX resulted in the loss of $235 million worth of cryptocurrencies due to a compromised cold crypto wallet. As a result, Coinswitch, another Indian crypto exchange that had funds on the WazirX platform, has filed an affidavit against WazirX in a court in Singapore.
A dedicated Crypto X account representing the WazirX customers affected by the hack has pointed out that Coinswitch’s affidavit is primarily aimed at safeguarding their own interests rather than advocating for the victims of the WazirX hack. This has raised concerns about the lack of consideration for WazirX customers from major players in the Indian crypto industry.
Many are drawing parallels between WazirX CEO Nischal Shetty and infamous crypto entrepreneur SBF, who is currently serving a 20-year prison sentence for defrauding FTX exchange customers. There are fears that Nischal may face legal repercussions once he returns to India.
Critics have accused Nischal of displaying poor leadership and receiving bad advice from his advisors, leading to a tarnished reputation in the crypto community. They emphasize the importance of prioritizing the interests of WazirX customers to salvage both their trust and the reputation of the crypto platform.
In light of these developments, it is crucial for Nischal to make decisions that prioritize the welfare of WazirX customers and demonstrate ethical conduct in managing the aftermath of the hack. Failure to do so may have long-lasting consequences for his standing in the crypto industry.