Restoring Confidence: CoinSwitch Unveils ₹600 Crore Recovery Plan for WazirX Hack Victims

CoinSwitch Announces ₹600 Crore Recovery Plan for WazirX Hack Victims

In a significant move to stabilize the Indian crypto market, CoinSwitch has announced a comprehensive recovery plan worth ₹600 crore to support victims of the massive WazirX hack. The unprecedented cyber heist occurred in July 2024, causing irreparable damage to over 4 million users and resulting in a loss of more than ₹1,900 crore.

As part of this relief initiative, CoinSwitch will provide upfront signup rewards to those affected, enabling them to regain their confidence in the market. Additionally, the exchange platform has assured that claims can be analyzed only after WazirX unlocks funds, which is expected within 6-8 months.

This bold move by CoinSwitch aims to restore faith in the Indian crypto space and ensure a seamless transition for its users. According to Co-founder Ashish Singhal, the company’s commitment to supporting the community remains unwavering, even during challenging times.

“Once WazirX starts allowing withdrawals from crypto, our claims can be analyzed, AUM ascertained, and subsequent rewards calculated,” he emphasized.

The announcement has sent shockwaves across the industry, with many praising CoinSwitch for its proactive approach. “87% of our consumers contribute roughly 8% towards claims on any of the platforms we have,” Singhal revealed. However, the exchange noted that it suffered a significant loss of over ₹1,900 crore due to the hack.

This unprecedented support comes at a critical time when market volatility is taking its toll. The recovery plan’s success could potentially turn the tide in favor of investors and restore confidence in the sector as a whole.

Source: coinpedia.org