Just a few weeks after a Singaporean court approved WazirX’s parent company’s restructuring plan, a decision out of one of India’s courts could impact users.
An Indian high court issued a ruling that could impact how cryptocurrency exchanges handle claims filed by users following a hack or other incident potentially affecting their holdings.
In a ruling delivered on Saturday, Justice N. Ananad Venkatesh of India’s High Court of Judicature at Madras ordered crypto exchange WazirX’s operator, Zanmai Lab, to furnish a bank guarantee for about $11,800 as part of arbitration proceedings brought by a user over 3,532 XRP (XRP) holdings. Zanmai has custody of the tokens, which were frozen after a 2024 cyberattack resulted in the loss of about $235 million worth of crypto.
“Since the cyber attack took place, there are insufficient crypto currency tokens attributable to the platform’s user liabilities to satisfy unsecured crypto currency claims of its users,” said the Saturday filing.
