In response to a major security breach, WazirX, one of India’s leading cryptocurrency exchanges, is set to reverse all trades executed after a withdrawal freeze imposed due to a $235 million hack in July 2024. The exchange announced on August 8 that it will restore all user portfolio balances to their state as of July 18, 2024.
Key Points:
- Restoration of Balances: WazirX will undo trades made between July 18 and July 21, 2024, ensuring that all user accounts reflect their balances from July 18. This includes reversing any fees and referrals associated with these transactions.
- Details of the Security Breach: This breach led to significant losses, including $100 million in Shiba Inu and $52 million in Ether.
- Future Actions: The exchange has paused all withdrawals and is working on a plan to handle deposits made after the attack. WazirX co-founder Nischal Shetty has proposed two recovery options for affected users, though these have faced criticism.
- Community Response: The decision to reverse trades aims to ensure fairness for users affected by the hack. Reactions to the exchange’s approach have been mixed, with some arguing that users should not bear the burden of the loss.
