Decoding WazirX’s Restructuring Plan

If you’ve been following the buzz around WazirX, you know it’s been a rough year for them. The WazirX saga is actually impossible to ignore.

The $230 million cyberattack shook everyone—users, the crypto community, and even casual observers. Although the attack was massive, WazirX acted fast and took various major steps to control and minimize the loss.

Now, all eyes are on their Restructuring Plan. But what does it really mean for users like us? What will happen, if it’s approved? What if it fails?

Here’s my take on what’s happening and why it matters.

Let’s start with the basics.

After the attack, WazirX needed a way to recover the funds and rebuild trust.

Their solution?

A legal process called a Scheme of Arrangement which is filed under Singapore’s Insolvency, Restructuring, and Dissolution Act (IRDA). It’s a fancy term for a structured plan to fix things, and it’s being done under Singapore’s laws.

Their idea is to make the process transparent, fair, and court-supervised, with creditors (that’s us) playing a big role in shaping the outcome. WazirX has set up a Committee of Creditors (COC) to oversee the process. This group represents creditors’ interests and ensures decisions are transparent and user-focused. Honestly, it feels like they’re trying hard to cover all bases.

Now, why does this plan need our vote?

That’s because it won’t move forward unless 75% of creditors (by the value of their claims) in each group say “YES.”

- A vote in favor means the plan can be implemented quickly, with a focus on recovering funds and minimizing delays.

- On the flip side, if the plan doesn’t pass, the process could get messy—with more delays, uncertainty, and possibly less money recovered.

The timeline is another point of discussion.

How long will this take? - Is another common question.

WazirX has shared a Scheme Timeline Calculator to guide us through the restructuring process. It offers a clear and interactive roadmap of key milestones and expected timelines.

They’re trying to keep everyone in the loop, but let’s be honest—court processes can be slow, and there’s no escaping the waiting game.

Fairness has also been a big topic in the community.

Will everyone be treated equally, no matter how much they’re owed?

WazirX says the answer is yes.

To monitor the whole process, they’ve set up a Committee of Creditors (COC) to represent users and ensure fair and transparent decisions. That sounds good on paper, but it’s fair to wonder how much real influence users will have in the process.

Wazirx has also been hosting Townhalls to address concerns, answer questions, and launch tools like the Rebalancing Calculator to clarify fund distribution. They plan to resume trading, introduce Recovery Tokens, and even explore Decentralized Exchanges (DEX).

Here’s where it gets tricky. While these steps show they’re thinking ahead, some might feel their focus should be solely on getting funds back before diving into new ventures. And that’s a valid concern—we just want our money back, plain and simple.

So, should we, as users, support this plan?

I think we should vote “YES,” as it will give them a chance to move forward and get our funds back faster. But it’s okay to feel cautious—this is about more than just words; it’s about actions and results.

For me, the Restructuring Plan feels like WazirX’s attempt to make things right and turn a terrible situation into something manageable. Maybe it’s not perfect, and there’s no guarantee it’ll go off without a hitch, but it’s definitely a step forward.

At the end of the day, this isn’t just about legal processes or business decisions—it’s about rebuilding trust. WazirX has a long road ahead, and whether they succeed will depend on how well they deliver on their promises. All we can do for now is stay informed, ask questions, and hope for the best.