Indian crypto exchange regulator CoinSwitch has accused rival WazirX of transferring an estimated $75 million in user funds to international exchanges Bybit and KuCoin following a July 2024 cyber attack.
Ashish Singhal filed the allegation when CoinSwitch released an official dashboard tracking wallet activities based on Wazirx's latest wallet disclosures.
WazirX recently filed an affidavit with the High Court of Singapore and disclosed more than 240,000 wallet addresses as part of its debt restructuring efforts.
On Monday, Singhal tweeted that the massive amount of data has left many users confused, especially in India, where crypto literacy is still growing. “Analyzing this data is almost impossible for the average user,” Singhal said.
CoinSwitch has developed and shared a dashboard that tracks the movement of funds from WazirX's Wallet to resolve the confusion.
After the breach, the dashboard transferred $72.13 million in crypto to Bybit and $1.5 million to KuCoin.
“Think of this dashboard as a complex puzzle that we're trying to figure out,” Singhal said, informing users that more updates would follow as the situation unfolded.
Due to ongoing legal proceedings, Singal explained that there are restrictions on the information CoinSwitch can share, but assured users of continued transparency.
“If you need different data reductions, don't hesitate to contact us,” he said, urging users to engage with his team.
WazirX hack
The cyber attack on Wazir X on July 14 compromised assets worth $230 million. ERC-20 tokens It is stored in hot wallets. Following the breach, WazirX stopped all withdrawals, leaving users unable to access their funds.
While the exchange will continue to issue limited INR, WazirX has consolidated its assets to stabilize operations and halt crypto withdrawals to reduce network fees.
Wazirx's parent company, Zetai Pty Ltd, received a four-month stay from Singapore's High Court in August 2024, giving the exchange temporary relief to fix its finances.
However, an ongoing legal dispute with CoinSwitch over $9.7 million in frozen funds complicates the recovery process and adds to WazirX's challenges.
CoinSwitch said it deposited INR and other assets with WazirX before the attack, but WazirX blocked withdrawals after the incident.
To protect its users, CoinSwitch has entered its internal treasury to maintain a 1:1 reserve ratio, guaranteeing that its customers are not affected by the dispute.
CoinSwitch did not immediately respond to a request for comment from Decrypt.
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