WazirX debt resolution 2025 marks a pivotal moment in the exchange’s recovery journey, securing over 93% creditor approval following its $230 million cyberattack. In an official blog post dated April 7, the exchange announced that its proposed credit restructuring scheme secured 93.1% approval from voting creditors—well above the minimum statutory requirements under Singapore law. This marks a significant milestone for the embattled exchange, which has been struggling to stay afloat following a devastating cyberattack in July 2024 that led to losses exceeding $230 million. You can read more about the initial response here: WazirX Requests Binance’s Assistance Following $230 Million Cyberattack.

Overwhelming Creditor Support Signals Confidence

Between March 19 and March 28, 141,476 creditors—representing over $195.6 million in claims—cast their votes on the proposed scheme. Of these, 131,659 creditors (around $185 million in claims) voted in favour of the plan. The approval rate was 93.1% by count and 94.6% by the value of claims, both exceeding the thresholds mandated by Singaporean regulations, which require over 50% in count and at least 75% in value from those present and voting.

The high approval signals strong support from users, creditors, and stakeholders, many of whom had been uncertain about WazirX’s ability to navigate its financial crisis. For a comprehensive overview, check out WazirX Recovery Plan 2025.

Breakdown of the Approved Scheme

WazirX’s plan, formally submitted to the Singapore High Court (HC) earlier this year, involves repaying approximately 85.5% of all creditor claims through its existing liquid assets. These claims were calculated by rebalancing each user’s portfolio in February 2025. Each claim was assessed as a percentage of WazirX’s total liabilities—estimated at $545.3 million.

Here’s how the scheme works:

• Immediate Payouts: Users will receive distributions in proportion to their claim’s percentage of the total liabilities. For example, a creditor whose claim represents 0.05% of total liabilities would receive 0.05% of the liquid asset pool in the first payout.
• Recovery Tokens: For the remaining 14.5%, WazirX will issue Recovery Tokens to users on a pro-rata basis. These tokens will be bought back over time using funds recovered from unencumbered assets and future recoveries, audited quarterly.
• Stolen Assets Recovery: WazirX is also pursuing avenues to recover stolen crypto assets from the July breach to reinforce its asset pool.

Once sanctioned by the Singapore HC, the scheme will be implemented within 10 business days, according to WazirX.

From Crisis to Resolution: The Backstory

WazirX’s current crisis stems from a massive cyberattack in July 2024 that drained over $230 million, nearly 45% of the exchange’s total assets. The breach triggered a liquidity crunch, followed by the suspension of all user withdrawals—leading to widespread panic among investors.

Initially, the company proposed a controversial “socialisation” plan that would have locked 45% of each user’s holdings. It aimed to allow trading with the remaining 55%. However, due to intense backlash, the plan was abandoned. More on the criticism from the crypto community can be found in this analysis: WazirX Cyberattack Response Criticized by CoinDCX CEO.

The freeze on withdrawals also affected institutional investors. Notably, CoinSwitch, a competing exchange, threatened legal action after failing to recover its own funds.

Looking Ahead: What It Means for Users and the Industry

The overwhelming support for WazirX’s debt resolution scheme shows a turning point for creditor confidence. It also underscores the importance of transparent, court-backed recovery frameworks in the volatile crypto sector.

WazirX’s two-pronged strategy—direct payout through liquid assets and long-term buybacks via Recovery Tokens—sets a precedent for how exchanges can responsibly respond to crises without completely alienating their user base.

While regulatory scrutiny is expected to tighten across jurisdictions, WazirX’s approach may offer a blueprint for embattled crypto firms seeking to regain trust. The legal proceedings continue to draw attention as well; read more on that in WazirX Hack: Legal Battle Reaches Supreme Court.

To Sum UP

The WazirX episode is a powerful reminder of the fragility of trust in the crypto ecosystem—and how rapidly it can be tested. Yet, by securing a strong creditor mandate and committing to transparent recovery efforts, the exchange appears to be making strides toward long-term stability.

Whether this resolution leads to a full recovery remains to be seen. But one thing is clear: crypto platforms must build not just for innovation, but for resilience.