WazirX gets 95% user approval in revote for restructuring plan

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Hacked crypto exchange WazirX on August 18 shared that around 95 percent of its users have revoted in favour of its restructuring plan as per an amended scheme proposed by its parent Zettai Pte.

This comes a month after the Singapore High Court extended its moratorium for two months and had also set aside its earlier ruling from June 4 to scrap the company’s restructuring scheme.

In the revote conducted by the Kroll Issuer Services platform between July 30 and August 6. According to the exchange, 149,559 Scheme Creditors holding approved claims worth $206.9 million participated in the revote. Of these, 95.7% by count and 94.6% by value backed the plan. The outcome reflects a slight improvement over the previous round of voting, which also saw overwhelming support.

Under the amended scheme, recoveries will be distributed via Zanmai India, a reporting entity under the Financial Intelligence Unit of India. All WazirX users with positive crypto balances as of July 18, 2024, were eligible to vote.

“This second round of voting with such strong numbers is a testament to our approach towards restructuring, which has been fair, transparent, and the quickest option for users to recover funds,” WazirX founder Nischal Shetty said. He added that operations could resume within 10 business days once the Singapore Court sanctions the scheme.

The vote results were independently verified by Alvarez & Marsal to ensure accuracy and transparency.

What’s next?

Zettai will now file an application with the Singapore Court for formal sanction of the amended scheme. If approved, the first distribution of funds to creditors is expected within 10 business days, offering long-awaited relief to WazirX users.