WazirX Unveils 55/45 Recovery Plan After $230M Hack
Indian cryptocurrency exchange WazirX has announced a recovery plan following a cyberattack that resulted in the theft of approximately $230 million, affecting 45% of user funds. The platform will implement a '55/45' strategy, allowing users immediate access to 55% of their assets, while the remaining 45% will be converted into Tether (USDT)-equivalent tokens and locked. This approach aims to distribute the financial impact evenly among all users, preventing any single group from bearing a disproportionate burden.
WazirX's recovery plan draws on best practices from past incidents such as the Mt. Gox and Bitfinex hacks. The company also plans to create a diversified portfolio for the unlocked 55% of assets, using a basket of unaffected crypto tokens to maintain balance. Users will be asked to select their preferred recovery option through a poll, with the final plan taking into account liquidity, ongoing investigations, and the poll results. The platform aims to resume full operations shortly after the poll closes on August 3, 2024.
