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WazirX Founder Nischal Slams CoinSwitch Allegations as Baseless

Author: Content Editor
Indian cryptocurrency exchange, WazirX, is facing accusations from CoinSwitch's co-founder, Ashish Singhal, over the transfer of $73 million in cryptocurrency to exchanges like Bybit and KuCoin. Singhal raised concerns about WazirX's financial stability and its handling of user funds. However, WazirX's co-founder, Nischal Shetty, denied the allegations, calling it a "false narrative" and a "coordinated campaign." Shetty explained that WazirX had transparently disclosed its wallet addresses and that the ongoing proof of reserves process would reveal all transactions. The exchange is still onboarding a custodian, leading to the transfer of funds to external exchanges. WazirX has been dealing with the aftermath of a major security breach in July 2024, where a significant amount of digital assets was stolen. The exchange was granted a four-month moratorium by the Singapore High Court and is facing investigations by Indian government agencies. CoinSwitch intends to recover $1.5 million in cash and cryptocurrencies deposited on the platform.

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