Following a major security breach that resulted in the theft of $230 million, cryptocurrency exchange WazirX has been accused of moving over $73 million worth of assets to other exchanges. Rival crypto firm CoinSwitch’s CEO, Ashish Singhal, alleged that WazirX transferred $72.13 million to Bybit and $1.5 million to Kucoin. WazirX, currently facing liabilities amounting to $546.5 million, did not deny these allegations in its official response.

CoinSwitch Demands Real-Time Transparency

In addition to the allegations, CoinSwitch criticised WazirX for lacking transparency. Singhal stated that CoinSwitch had made a dashboard of WazirX wallet addresses available to the public. However, CoinSwitch called on WazirX to implement real-time tracking of reserves and wallet addresses, urging the platform to improve transparency. WazirX hit back, noting that CoinSwitch has yet to offer real-time proof of reserves for its own users despite long-standing demands.

Legal Action Against WazirX

CoinSwitch is pursuing legal action against WazirX in a bid to recover 2% of its total funds. The company held significant assets on WazirX, including Rs 12.4 crore in INR, Rs 28.7 crore in ERC20 tokens, and Rs 39.9 crore in other digital tokens. Singhal stressed the importance of fully understanding WazirX’s financial situation in order to recover their investments.

Restructuring Efforts Amidst Legal Pressures

Last month, a Singapore court granted WazirX a four-month moratorium, allowing the platform time to restructure without facing legal proceedings. WazirX aims to secure capital through partnerships and new revenue-generating products. The company is also focused on recovering the stolen crypto assets and offering liquidity to users who wish to exit the restructuring process.

Despite the massive breach, WazirX remains committed to rebuilding trust and transparency within the crypto community.