Surprise for WazirX Users 75 Million Shifted to Bybit and KuCoin
In a recent revelation, the experts of this Indian exchange have accused it of secretly diverting $75 million to prominent global exchanges like Bybit and KuCoin, without the knowledge of its users. This disclosure comes just a few months after reports emerged that one of the leading Indian exchanges, WazirX, was hacked in July 2024, raising concerns about the platform’s transparency and security.
Legal issues and wallet statements have further complicated matters for WazirX, as it is currently caught up in litigation processes. In an affidavit filed with the High Court of Singapore, WazirX has shared detailed information about 240,000 wallet addresses. However, this flood of data has left users and holders of crypto assets, especially in India, feeling overwhelmed. Many investors in the country are still new to the world of cryptocurrencies and are unsure about the implications of this disclosure on their investment portfolios.
CoinSwitch, a major player associated with WazirX and having funds deposited in the exchange, has revealed that they had to use their own funds to reimburse their users after WazirX banned withdrawals. CoinSwitch has taken legal action in the interest of the wider crypto community and has created a dashboard to analyze the leaked data from WazirX’s wallets.
By using this dashboard, it has become evident that WazirX has been diverting users’ funds without their consent. A staggering $72.13 million has been transferred to Bybit, while $1.5 million has been sent to KuCoin. These covert transfers of funds not only tarnish the reputation of the platform but also intensify the legal proceedings against the exchange. As trust in the platform continues to decline, the affected victims are left hoping to recover their valuable cryptocurrencies.
In addition to these developments, it is worth noting that the security crisis in the crypto world has resulted in losses amounting to $50 million. This further emphasizes the urgent need for enhanced security measures.
Tags: Hack