WazirX, a cryptocurrency exchange that was recently subjected to a $230 million cyberattack, has declared that it will commence partial withdrawals in Indian Rupees (INR) on August 26.
Initially, users will have the ability to withdraw up to 66% of their funds in INR, with the withdrawal process occurring in two phases. The initial phase, which spans from August 26 to September 8, will grant access to approximately half of the 66% limit. The remaining portion will be accessible from September 9 to 22.
Apparently, the breach did not affect Zanmai Labs Pvt Ltd, the entity responsible for administering WazirX’s INR-related activities, and it has an adequate amount of reserves to cover all user balances. Ongoing legal disputes and investigations by law enforcement agencies have resulted in the freezing of approximately 34% of INR balances.
In response, WazirX is seeking legal assistance from the Singapore High Court and is contemplating a restructuring scheme to suggest a debt restructuring plan that could be more advantageous to creditors than liquidation.
WazirX has reduced its INR withdrawal fees from ₹25 to ₹10 in response to the attack. However, cryptocurrency withdrawals are still on hold due to asset shortages.
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