WazirX, a well-known crypto trading platform in the Indian market, faced a major setback four months ago when its cold wallet was hacked by an unknown individual. The hacker managed to steal approximately $250 million worth of crypto assets from the wallet and laundered the funds through the Ethereum crypto mixing platform Tornado Cash.
In response to the hack, the WazirX team announced a fund release date for customers on February 4, 2025. However, a Crypto X user, who advocates for WazirX customers affected by the hack, discovered that the team had quietly pushed back the release date to February 14, 2025, extending the wait by 10 days. This move raised concerns among customers who expected transparency from the platform’s leadership.
Criticism also targeted WazirX CEO Nischal Shetty for promoting his other crypto projects, such as the Pi42 exchange and Shardeum blockchain, amid the ongoing issues faced by WazirX users. Indian crypto influencers joined in questioning the leadership’s commitment to transparency and customer welfare.
The delay in releasing funds has added to the frustration of WazirX customers, especially during a period of a crypto bull run. Despite the potential for profits during this market upswing, customers have been left in limbo as WazirX has yet to unfreeze their funds, even withholding 50% of remaining funds post-hack.
Nischal Shetty defended the platform’s actions, claiming that steps were being taken to rectify the situation and compensate users. In a recent town hall meeting, the WazirX leadership discussed plans to launch a new decentralized crypto exchange and introduce a new token to generate profits for compensating customers.
The ongoing challenges faced by WazirX and its customers highlight the importance of transparency, accountability, and swift action in the crypto space. As the industry continues to evolve, platforms must prioritize customer trust and security to maintain their reputation and credibility in the market.