The post WazirX Creditors Face Tough Choice in Upcoming Restructuring Vote appeared on BitcoinEthereumNews.com.

Creditors of WazirX are set to make the call on the fate of the exchange’s restructuring plan—specifically, whether to approve a proposal that could see as much as 2 billion U.S. dollars in stolen crypto assets returned to investors by April 2025. But the plan’s approval seems far from assured; indeed, some observers see the controversy around it as having already turned it into a “Crisis of Credibility.” The Restructuring Vote: A Critical Decision Creditor votes will determine whether WazirX can implement its restructuring plan. For the plan to move forward, 75% of creditors (by value) must approve it. If WazirX gets approval, lost crypto holdings could start being returned to creditors by 2025. If the plan is rejected, the alternative appears to be a long legal slog that might (or might not) end in 2030 with a fiat-based payout to creditors. The vote has been portrayed by the exchange as a key event in its major comeback to the market. But instead of offering a clear-cut recovery scheme, WazirX has put forth two unpleasant options for its users to choose from: 1. Vote “Yes” – Back the reorganization plan of the exchange, which entails setting up a new decentralized exchange (DEX) and hoping that it can recover the lost assets. Users would have to trust WazirX to pull this off—but can they? 2. Cast your vote for “No” – Disapprove the proposed plan and anticipate receiving a payout in fiat currency via the liquidation process. That could take several years, with a payoff stretching from now (2023) to as late as 2030. Both choices involve considerable unpredictability, and many users sense that they are caught in a situation where they inevitably lose in the end, no matter what the result is. A Lack of Clear Guarantees The restructuring proposal…

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Filed under: News - @ February 6, 2025 9:24 am