CandleFocus

WazirX forms Committee of Creditors as 13% of users claim to 92% of funds

Author: Content Editor
Indian crypto exchange, WazirX, will form a Committee of Creditors (COC) by October 9 to address the $230 million hack that occurred in July. The COC will treat all users with crypto balances at the time of the hack as contingent unsecured creditors. However, the company is not obligated to implement the recommendations provided by the COC, which has caused discontent among users. Only 13% of creditors hold 92% of the total claims, indicating that there are only approximately 500,000 high-value claims. The COC’s role is consultative, and its members will have the same scheme voting rights as general creditors. The formation of the COC is part of the conditions imposed by the Singapore courts during the company's 4-month moratorium. WazirX users are disappointed that the Indian government has not issued a statement on the hack.

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