• From March 19th through the 28th, 2025, users via the KIS platform will have the opportunity to cast their votes.
  • At least half of the creditors must vote in favor of the Scheme for it to be approved.

Indian crypto exchange WazirX’s CEO Nischal Shetty has requested users to approve a restructuring scheme post the hack . At least half of the creditors must vote in favor of the Scheme for it to be approved. And each class’s value-weighted creditors must be present and vote for it to pass. 

Clearing Up Confusion About the Restructuring

If you have any questions, feel free to ask, we want to make everything as clear as possible.

At the end of the day, the choice is yours.

A Yes vote means we move forward, restart the platform, and distribute ALL available liquid…

— Nischal (Shardeum) 🔼 (@NischalShetty) March 2, 2025

The Court’s authorization of the Scheme will make it enforceable against the Company and its creditors once it’s authorized. Clear timelines and transparency are achieved through this process, which allows for informed decision-making.

All Eyes on Creditors

As per Nischal, customers may now access their share of the Rebalanced Net Liquid Platform Assets (NLPA) in the WazirX app. Which would be made available in the First Distribution. Assuming the proposed Scheme is accepted by creditors and sanctioned by the Court.

From March 19th through the 28th, 2025, users via the KIS platform will have the opportunity to cast their votes on the proposed Scheme. Ten business days after the Effective Scheme Date, or in April or May of 2025, at the latest, the first distribution will be finished if the Scheme is effective.

Moreover, it is anticipated that creditors will receive, on average, about 85.3% of their balances back in USD from the Rebalanced Net Liquid Platform Assets. Recovery Tokens (RTs) may be distributed later on to facilitate this process for potential subsequent distributions.

To facilitate future asset recoveries and profit sharing from the reactivation of the WazirX platform, creditors will receive Recovery Tokens (RTs) on a pro-rata basis.

Along with the proposed Scheme, there are already established plans to recover illiquid and stolen assets. This is anticipated to be done through forensic investigations and legal actions. The next conceivable outcome is liquidation in the event that the scheme approval is unsuccessful. It is imperative that the ownership dispute be settled before the liquidation can begin. Due to the high level of risk and uncertainty involved, recoveries in a liquidation process tend to be very delayed.

The high liquidation expenses caused by the enormous creditor base, the requirements of the Liquidator statute, and the loss of important personnel and infrastructure in a liquidation would result in lesser recoveries compared to a restructuring.

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