Harsh Gupta, a 19-year-old cryptocurrency enthusiast, began trading on the Indian crypto exchange WazirX. Initially, he used his mother’s name to create an account due to being a minor but later set up his own account.
On July 18, when a WazirX wallet was hacked, Gupta had around ₹60,000 in his account and an additional ₹18,000 in his mother’s account. While Gupta was not severely impacted by the hack, he expressed concern for other WazirX users who lost significant amounts, some even their life savings, prompting him to raise awareness about their situation.
According to Gupta, the hack was a scam, and despite some users attempting to file complaints with cyber police, the authorities did not take them seriously.
WazirX, one of India’s largest crypto exchanges, faced a breach in one of its digital wallets on July 18, causing a delay in notifying users about the incident and preventing them from withdrawing their crypto assets. The exchange’s CEO claimed they could not compensate users due to the company’s ownership by Binance, leading to further confusion and frustration among users.
Shiva Kumar Shivaraju, another WazirX user, expressed his dissatisfaction with the platform’s actions, leading to losses totaling over INR 15 lakhs. He called for better regulation of the crypto sector in India to prevent such incidents in the future.
As WazirX users voiced their concerns, the exchange announced plans for restructuring in Singapore, further adding to users’ anxiety. The involvement of Kroll, a company previously associated with another troubled crypto platform, raised doubts among users about the exchange’s intentions.
In response to the situation, a group called ‘Justice for WazirX Users’ emerged, aiming to unite affected victims and take legal action against WazirX and its CEO. They sought justice for the losses incurred and questioned the handling of the hack.
Many users, like Mayank Bhatodra, who trusted WazirX as a compliant exchange, were left frustrated by the freeze on their assets post-hack. The lack of transparency and accountability from the exchange added to users’ distress and raised concerns about the safety of their investments.
With unanswered questions and unresolved issues, WazirX users are left in uncertainty, questioning the responsibility of the exchange and the role of the Indian government in addressing their concerns. The ongoing legal proceedings and lack of compensation have left investors in a state of distress and disillusionment.
Despite the challenges faced by WazirX users, efforts are being made to seek justice and hold the exchange accountable for its actions. The future remains uncertain for those affected, as they navigate through the aftermath of the hack and seek resolution for their losses.
Published – October 02, 2024 08:30 am IST
