Zettai Pte Ltd, the parent company of WazirX, has filed an application with the Singapore High Court seeking approval to convene a meeting with creditors to vote on a proposed Scheme of Arrangement.
The move marks a significant step towards resolving the aftermath of the $230 million (INR 1,900 crore) theft that occurred on July 18, 2024.
In a December 10 announcement, Zettai outlined the Scheme’s goal of providing WazirX users, classified as unsecured contingent creditors, with a structured recovery roadmap. The plan proposes proportional token distributions from Zettai’s liquid funds, which reportedly exceed the company’s USD-denominated liabilities as of the theft date.
The Scheme requires approval from a majority of creditors and the sanction of the Singapore High Court.
If approved, initial payouts are expected within ten business days of the Scheme’s activation. Additionally, creditors will receive Recovery Tokens linked to future asset recoveries, potentially benefiting from the ongoing cryptocurrency bull market.
This filing follows a four-month moratorium granted on September 26, 2024, which enabled Zettai to focus on restructuring, recovery, and stabilization efforts.
WazirX CEO Nischal Shetty, who also announced the filing via an X post, praised the rapid progress despite the case’s complexity. Shetty revealed plans for global collaboration to recover stolen funds and emphasized transparency through third-party audits and regular updates.
Meanwhile, the crypto exchange recently announced that it is preparing to relaunch trading on its platform by February 2025 with enhanced features and new revenue-generating initiatives. The exchange plans to introduce crypto staking, an over-the-counter desk, and futures trading as part of its revamped offerings.
During WazirX’s fourth town hall on YouTube in early November, Shetty announced airdrops of “recovery tokens” to affected creditors. These tokens, allocated pro-rata, are designed to help users recover 48% of their lost funds through trading activity on the platform.
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