On 19 Oct 2024, WazirX, the popular Indian crypto exchange, made headlines as it emerged from a 3.5-month closure due to a major hack. In a surprising turn of events, the exchange shared a massive 1100+ page list of crypto addresses belonging to its customers as part of legal proceedings in a Singapore court. The WazirX team claimed that only addresses with non-zero balances were included in the list, aiming to demonstrate transparency and reassure customers that 55% of their funds are still intact in various wallets.
However, this move by WazirX was met with skepticism and criticism from customers, particularly those who suffered losses in the hack. Allegations of unauthorized access to WazirX’s cold wallets further added fuel to the fire, with many questioning the security measures in place at the exchange.
The situation took a new twist when a prominent crypto influencer representing WazirX customers accused the exchange of deception. The influencer claimed that WazirX actually kept all customer funds in a single wallet, contrary to the impression created by the extensive list of crypto addresses. This revelation raised concerns about the true whereabouts of customers’ funds and whether WazirX was being transparent about its financial standing.
Adding to the controversy, Indian crypto influencer Aditya Singh conducted his own investigation into the list provided by WazirX. Singh found that a significant number of the addresses listed had zero funds, contradicting WazirX’s claim that only addresses with non-zero balances were included. This discovery further deepened suspicions about the exchange’s credibility and its handling of customer funds.
The revelations from Singh’s investigation have cast a shadow over WazirX’s reputation and raised questions about the exchange’s ability to refund its customers. Despite the mounting evidence of potential deception, WazirX and its leadership have remained silent on the allegations of fake or misleading crypto addresses in the shared list.
As the crypto community awaits further developments in this unfolding saga, the controversy surrounding WazirX serves as a stark reminder of the importance of transparency and trust in the world of cryptocurrency exchanges. Customers and investors are advised to exercise caution and due diligence when choosing where to place their funds in light of these troubling revelations.