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WazirX Starts Restoring Balances, Withdrawals Still Paused

AuthorEzra kaimenyi
Crypto News Author
Fact Checked by Wajeeh Khan
Last updated: August 08, 2024
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WazirX Starts Restoring Balances, Withdrawals Still Paused

Highlights:

  • WazirX to restore balances to pre-breach status after $234M cyberattack
  • Restoration includes reversing trades, refunding TDS, and canceling fees
  • WazirX’s recovery efforts aim to rebuild user trust and enhance platform security

WazirX, the prominent Indian crypto exchange, is restoring user account balances following a significant security breach last month. The exchange announced that all balances would be restored to their status as of July 18, 2024, when the violation occurred.

In response to the breach, WazirX will restore all account balances and reverse trades made after withdrawals stopped on July 18, 2024. This decision was made after careful consideration and feedback from numerous users. The exchange emphasized that this move aims to protect the platform’s integrity and provide an equitable outcome for all users affected by the cyberattack.

WazirX Ensures Comprehensive Restoration and Transparency

WazirX has taken the breach seriously and is committed to transparently addressing user concerns. The exchange answered several frequently asked questions to inform users about the restoration process. The exchange stated that it would credit back the tax deducted at service (TDS) for affected trades to users. Additionally, it will reverse fees and referrals from the affected trades and cancel pending transactions.

Over the next few days, affected users will receive emails notifying them of any impacted trades. The exchange reassured users that it prioritizes the restoration process and will reset their portfolio balances to their state before the breach. WazirX also emphasized its commitment to security and transparency. This approach aims to rebuild user trust and ensure fairness following the cyberattack.

The exchange confirmed that it will undo all crypto-to-INR and crypto-to-crypto transactions. This approach aims to mitigate the negative impact on users and restore their trust in the platform. Additionally, WazirX plans to reverse fees and referrals from the affected trades, further ensuring user satisfaction. By taking these steps, the exchange demonstrates its commitment to transparency and user protection.

WazirX Recovery Efforts Post $234M Cyberattack

The cyberattack on July 18, 2024, was a severe blow to WazirX, resulting in the theft of $234 million in customer funds. The hacker converted most of the stolen funds into Ether (ETH), exchanging them for approximately 43,800 ETH valued at $149.46 million.

Following the attack, WazirX temporarily halted withdrawals to prevent further losses. Despite the restoration efforts, the exchange has yet to resume fund withdrawals or asset trading. The platform stated that it would restore accounts over the next few days and email affected users of any impacted trades.

WazirX remains committed to security and transparency, protecting the platform and ensuring fairness for all users. Restoring account balances and canceling transactions made after the breach is crucial in compensating users for their losses.

Following the security breach, WazirX works diligently to restore user trust and safeguard investments. By resetting account balances and reversing trades, the exchange aims to minimize the negative impact on users and rebuild confidence in its platform. The ongoing efforts to address user concerns and enhance security measures demonstrate WazirX’s commitment to maintaining a secure and reliable crypto exchange for its users.

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