The post Singapore Court Approves WazirX Recovery Plan Amid $230M Hack Fallout appeared on BitcoinEthereumNews.com.

The Singapore High Court has approved Zettai Pte Ltd’s proposal to restructure cryptocurrency exchange WazirX after it suffered a devastating $230 million hack, reportedly linked to North Korea’s Lazarus Group. The court granted a 16-week moratorium, shielding Zettai from legal actions while it develops and presents a comprehensive recovery plan to creditors. This restructuring effort includes debt management, asset distribution, and a platform relaunch with enhanced security features. The approval marks a critical step toward WazirX’s recovery and rebuilding trust with its user base. Details of the Recovery Plan Debt Restructuring Zettai aims to renegotiate terms with creditors to reduce financial burdens and stabilize WazirX’s operations. Asset Distribution A structured plan will ensure fair asset allocation among creditors and affected stakeholders. Platform Relaunch The new platform will feature enhanced security protocols, including advanced anti-hack measures, user protection, and improved operational efficiency. Creditor Meeting Creditors will convene online to review the recovery plan, with details on the voting process to follow. The Role of the 16-Week Moratorium The moratorium period granted by the Singapore High Court serves several critical purposes: Legal Protection: Shields Zettai from lawsuits while finalizing the recovery plan. Stakeholder Engagement: Provides time to engage creditors and stakeholders in constructive discussions. Operational Stability: Allows Zettai to focus on restructuring efforts without external distractions. Impact of the $230 Million Hack The hack, allegedly carried out by the Lazarus Group, has significantly impacted WazirX’s operations: Financial Losses: The exchange suffered a massive outflow of funds, undermining user trust. Reputation Damage: The breach exposed vulnerabilities in the platform’s security systems. Legal Challenges: Lawsuits and regulatory scrutiny have further complicated the recovery process. How Zettai Plans to Rebuild Trust To restore user confidence and ensure long-term success, Zettai’s plan emphasizes: Enhanced Security Features Implementing state-of-the-art encryption and anti-hack technologies to prevent future breaches.…

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Filed under: News - @ January 26, 2025 11:15 am