WazirX Users Can Withdraw INR Starting August 26
The Indian cryptocurrency exchange WazirX has unveiled a schedule of the Indian Rupee (INR) withdraws which will take place in stages, the first one starting on August 26, 2024. The statement happened to be a liberating breath for users stuck in the situation as they could not access their INR balances since the exchange had frozen all withdrawals after being hit by a $230 million massive hack last July.
The WazirX team clarified in their update on August 23 that INR withdrawals will be available soon but cryptocurrency withdrawals are still suspended indefinitely. The exchange explained that the hack has caused a lot of damage and that it is necessary to mitigate the consequences and determine the next steps toward resolving customer complaints.
Crypto Withdrawals? Not Yet
Regarding crypto balances, WazirX stated that the hack has brought about huge losses, which have left the exchange of insufficient crypto assets to pay back the users. Thus, crypto withdrawals are still not possible at the moment.
WazirX is opting for a legally binding solution through a Singapore Scheme of Arrangement. This restructuring process under Singapore’s insolvency laws requires creditor approval before it can be implemented. The exchange wants the process to have a fair result; however, it is aware that the process might be long, as it was the case of the Mt. Gox case.
WazirX’s next plans involve the filing of an application at the High Court of Singapore, which marks the beginning of a potentially prolonged settlement process for users with crypto balances.
INR Withdrawals to Resume
Although users with cryptocurrency holdings may have to wait for a longer period, there was some good news for those with INR balances. WazirX announced:
“After a careful assessment and understanding of all user feedback, we are pleased to announce that the suspension on withdrawals of INR balances will be lifted on 26 August 2024, and INR withdrawals will be enabled in phases”.
Accepting the phased approach, users can withdraw half of their INR balances between August 26 and September 8. In addition, the full withdrawals will be available from 9th to 22nd September 2024. Furthermore, WazirX is also reducing the withdrawal fee by 60 percent from Rs. 25 (approximately $0.30) to Rs. 10 ($0.12).
This phased plan is designed to ensure a smooth withdrawal process, while the exchange continues to deal with the more complicated issues of cryptocurrency balances.
