WazirX News: Debt Restructuring Plan Gains 93% Votes, User Funds Recovery Imminent?

WazirX News: The defunct Indian cryptocurrency exchange has recently made a monumental stride by forging ahead with its debt restructuring plans following a cyber attack last year. On Monday, April 7, the CEX passed the Scheme of Arrangement plan proposed by its parent company, Zettai Pte Ltd. Notably, the scheme of arrangement is a debt restructuring plan filed with the Singapore High Court for recovering users’ funds impacted by an exploitation attack last year.

WazirX News: Exchange Forges Ahead With Scheme of Arrangement, What’s Happening?

According to an official release, Zettai’s proposed Scheme of Arrangement has garnered immense support recently. Following a voting session on the Kroll Issuer Services platform from March 19 to March 28, 93.1% of voting creditors, representing 94.6% in value, voted YES in favor of the scheme.

In total, 141,476 creditors have casted a vote to decide whether or not the scheme should be passed. Out of these creditors, 131,659 were reported to have passed a vote ‘FOR’ the motion. The massive amount reflects that a significant portion of creditors are supporting the proposed WazirX restructuring scheme.

CEX Founder Voices Optimism

The Indian exchange’s founder, Nischal Shetty, said, “We are grateful for the strong vote of confidence. This consistent support across our entire base demonstrates shared belief in our restructuring approach and recovery plan.”

Notably, Shetty also revealed that “to ensure full transparency, all votes have been independently verified by the appointed Independent Assessors.”

What Are The Next Steps In the Fund Recovery Plan?

“With the verified voting results, the next step is sanction by the Singapore Court,” WazirX revealed in its release. Its parent company Zettai remains poised to file an application with the Singapore High Court shortly ahead, primarily for sanctioning the scheme.

Once the filing is acknowledged, Zettai will offer users a separate update with all the legal bindings. The users of the top crypto exchange can expect the first batch of funds distribution within 10 business days of the scheme becoming legally effective. Withdrawals and trading will resume in phases, primarily to ensure regulatory compliance. The platform’s colossal user base is finally set to receive lost funds after nearly a year of the attack on the platform, presenting as an optimistic news for the exchange’s community.