WazirX returns; users wary over funds amid trust deficit

The cryptocurrency exchange has resumed ops more than 15 months after a crippling hack

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Nischal Shetty, founder of WazirX India, says the exchange will purchase recovery tokens based on profits and recovery efforts every quarter.

(MINT)

WazirX, once India’s largest cryptocurrency exchange by active users and trading volumes, reopened trading and withdrawals after more than 15 months on Friday.

However, limited release of funds to users has raised the hackles of both users as well as the crypto trade.

Even as users fretted about being shortchanged by the exchange, industry stakeholders, lawyers and investors expressed scepticism about whether the exchange can regain users’ trust and ensure legal compliance.

On day one of its return to trading, many users complained they were unable to access their full portfolio value, and in many cases even the full list of tokens they had invested in.

Mohit Gour, an investor, posted on X that his %1,39,000 portfolio showed a withdrawable balance of 350,000.

Syed Siraz, a second user, posted on X that his portfolio on the platform was a 10th of what it was 15 months ago.