WazirX Receives Singapore Court Approval to Resume Crypto Payouts After Major Hack
Indian cryptocurrency exchange WazirX has finally received judicial approval from the High Court of Singapore to move forward with the redistribution of crypto assets to its users, marking a significant milestone in its lengthy recovery process. This decision comes after months of uncertainty following the devastating security breach in July 2024, which saw nearly half of the platform’s reserves vanish.
The breach, which has since been attributed to the infamous Lazarus Group—a North Korean state-sponsored hacking entity—resulted in the theft of approximately $235 million in digital assets from WazirX. At the time of the attack, the exchange held around $500 million in total, making the heist one of the most substantial in crypto history. Following the hack, WazirX was forced to suspend operations, leaving users unable to access or withdraw their holdings.
In response to the attack, WazirX embarked on a comprehensive restructuring plan in an effort to restore services and reimburse affected users. The initial proposal, submitted to Singapore authorities in June 2024, was rejected due to non-compliance with the Financial Services and Markets Act (FSMA) and concerns about the involvement of Panama-based entity Zensui in the asset redistribution process.
Given that WazirX’s parent company, Zettai, is incorporated in Singapore, the legal proceedings to approve the restructuring took place in the city-state. In a revised proposal, WazirX shifted the responsibility for fund redistribution to its Indian arm, addressing the court’s earlier reservations. After a tense wait throughout September, the High Court finally approved the amended plan in a hearing held on October 13, 2024.
Nischal Shetty, founder and CEO of WazirX, expressed gratitude to users and stakeholders who stood by the platform during its most challenging phase. “We’re incredibly thankful for the support and patience shown by our community,” he said. “Now, we focus on rebuilding and delivering value to our users.”
While the court’s approval paves the way for crypto reimbursements, WazirX has yet to announce the exact timeline for the distribution. However, earlier statements from the company suggested that users could expect access to their assets within 10 days of the scheme taking legal effect.
The approval offers a glimmer of hope not only to WazirX users but also to the wider crypto community, which has been rattled by a series of high-profile security breaches. In 2025 alone, North Korean cybercriminals have already stolen over $2 billion in digital assets, with a single attack on Bybit accounting for $1.46 billion of that total. This year’s haul represents the highest annual crypto theft attributed to North Korea to date.
In addition to large-scale exchange breaches, North Korean hackers have diversified their methods, often using deceptive tactics such as posing as tech recruiters to trick individuals into compromising their wallets. These sophisticated social engineering attacks further underscore the pressing need for robust cybersecurity practices across the industry.
Despite the ongoing threats, the crypto market has shown signs of resilience. Bitcoin, for instance, has rebounded to $114,900 following its recent downturn. Analysts suggest that investor confidence may gradually return as major platforms like WazirX demonstrate accountability and recovery.
The WazirX case also highlights the growing role of international legal systems in regulating and resolving disputes in the decentralized finance space. With crypto exchanges often operating across multiple jurisdictions, legal clarity and cooperation between countries are becoming increasingly crucial. The decision by the Singapore High Court sets a precedent for how cross-border crypto firms can navigate post-crisis recovery, especially when regulatory frameworks like the FSMA are involved.
For WazirX, the journey is far from over. Rebuilding trust among its user base, strengthening its security infrastructure, and ensuring compliance with both Indian and Singaporean regulations will be key to its long-term survival. Moreover, the platform will need to contend with increased scrutiny from regulators and users alike as it re-enters the competitive digital asset marketplace.
Looking ahead, WazirX’s experience serves as a stark reminder of the volatility and risks inherent in the crypto ecosystem. Exchanges must prioritize transparency, adopt rigorous security protocols, and be prepared with contingency plans to handle crises. For users, the episode reiterates the importance of conducting due diligence and understanding the risks associated with storing assets on centralized platforms.
As the crypto market matures, the community will be watching closely to see how WazirX implements its redistribution plan and whether it can emerge stronger from its most turbulent chapter yet. The coming weeks will reveal whether the court’s greenlight marks the beginning of redemption—or merely a temporary reprieve—in the platform’s complex journey through the digital finance world.