The post WazirX Users May Won’t Get Full Lost Funds Back – Here’s Why! appeared first on Coinpedia Fintech News
WazirX users who lost their funds in the 2023 hack might soon get some relief, but not the full amount. After the court rejected its first proposal, WazirX has submitted a new plan to return a partial portion of the lost money. The final decision is expected by June 20.
So, what’s going on, and why won’t users get back everything they lost?
New Deadline: June 20
WazirX had earlier submitted a restructuring plan to the Singapore High Court, offering to return user funds after the massive hack in July 2023. But the court rejected that plan on June 4. In response, WazirX filed a formal request again on June 6, asking for reconsideration.
Now, the Singapore judge has allowed the exchange time until June 20 to present a revised plan. On that day, the court will decide whether WazirX’s proposal is acceptable or not.
Why Users Won’t Get Full Funds?
According to a recent announcement from WazirX, it is planning to restart its business under a new structure. The WazirX is even planning to move its base from Singapore to Panama and rebrand its company name to Zensui.
Meanwhile, the company claims it will return a percentage of the users’ funds, not the full amount. This means users might get back only a part of their money.
Yes! If the plan is approved, WazirX will say its company is bankrupt and needs to start over.
But here’s the catch—users who accept this payout might lose the right to file legal complaints in the future.
Past Lies and Fresh Promises
There have been many doubts about WazirX’s transparency. Earlier, they failed to get a license in Singapore and later shifted operations to Panama under a new name. Many believe the new restructuring plan is just another way to avoid accountability.
Right now, over 4.4 million users are still waiting for clarity. If the new plan is accepted on June 20, users may finally receive some portion of their stuck funds. But the exact amount, method, and timeline for refunds remain uncertain.
Until then, users can only wait and hope that this time, WazirX actually delivers.