Odaily News WazirX creditors will decide in the coming weeks whether to start receiving cryptocurrency compensation as early as April 2025, or face a long recovery process that could stretch into 2030.
The vote follows a ruling by Singapore’s High Court that allows the troubled Indian exchange to pursue a restructuring plan rather than face liquidation, contingent on three-quarters of its creditors approving a rehabilitation plan.
If the threshold is met, WazirX will roll out a phased compensation plan, including launching a DEX, issuing recovery tokens, and implementing regular buybacks to compensate affected users.
If the vote fails, the platform will be forced to liquidate, a process the company noted could take years and result in diminishing returns for creditors.While WazirX claims that creditors can recover up to 80% of their balances through its new DEX and recovery token model, its proposed recovery plan has sparked controversy.
Many users remain skeptical, and some critics see the five-year delay as a strategic move to coerce creditors into accepting a new platform rather than a genuine move toward recovery.