Indian investors' Rs 4,782 cr stuck as crypto platform WazirX seeks protection in Singapore

WazirX, one of India's leading crypto currency platforms that claims to have suffered a loss of $230 million or Rs 19.12 billion of its investors to a cyber attack on 19 July, which it has claimed was 45% of the total value of digital assets that it was holding, has filed an affidavit for a moratorium in the Singapore High Court seeking to stop and slow down proceedings against it and provide legal protection.

- ABHINANDAN MISHRA

This has raised concerns among its India userswhose deposits are already locked and cannot be completely withdrawn-who are taking to various social media platforms to allege that the three promoters of the company are trying to escape legal proceedings in India by forum shopping in Singapore. Many have shared their bank account statements online to show their financial situation while requesting the platform to let them withdraw from their crypto account.

However, WazirX in its response to The Sunday Guardian (below) has stated that it has filed the application in Singapore because the parent company is listed there.

WazirX has stated that more than 43 lakh Indian users had invested in crypto currencies through WazirX. Zanmai Labs Private Limited, registered in India on 21 December 2017, is the Indian company which manages WazirX crypto currency exchange in India. Its parent company, Zettai Private limited is registered in Singapore.

As per official records, Zettai was incorporated on 7 January 2019 with a paid up capital of $3,228. The company has three shareholders and its virtual office is at Bs Bendemeer Centre, a 7-storey building in Singapore.