Picture this: WazirX, a titan of the Indian crypto scene, finds itself in hot water with allegations swirling around about secretly moving millions in crypto to exchanges like Bybit and KuCoin. But wait, before you jump to conclusions, let's dive into this rollercoaster saga and hear what WazirX's CEO, Nischal Shetty, has to say.
It all started with a jaw-dropping $235 million hack back in July, prompting WazirX to open its books and spill the beans on over 240,000 wallet addresses. This was part of a court-ordered moratorium from Singapore to help them get back on their feet. But as the plot thickened, Ashish Singhal, the head honcho at CoinSwitch, raised eyebrows when his team dug through the data and found that WazirX had allegedly shuffled $75 million to other crypto exchanges.
CoinSwitch had a vested interest here – they held both Indian rupees and virtual digital assets with WazirX. After the hack, they had to dip into their own funds to keep customers happy and are now embroiled in a legal battle to reclaim their money. Singhal's team claimed they stumbled upon transactions of $72.13 million to Bybit and $1.5 million to KuCoin. Curiously, a significant chunk of the addresses they sifted through held less than $10, and some were even empty!
Despite all the buzz, Singhal kept mum about further details, citing ongoing legal proceedings. But in a twist worthy of a thriller, Nischal Shetty fired back, dismissing the claims as a “false narrative” and a “coordinated campaign.” He argued that the asset transfers were part of a legit plan to find a new custodian after splitting with Liminal post-hack. Turns out, not all custodians can handle every crypto token, so WazirX had to temporarily park some assets on exchanges like Bybit and KuCoin while they hunted for better options.
Amidst the chaos, WazirX hasn't given up hope of recovering the stolen funds. They’ve dangled a $23 million bounty and enlisted forensic experts and law enforcement, but the loot remains elusive. The alleged hacker, possibly linked to North Korea, seems to have already laundered the bulk of the ill-gotten gains.
So, there you have it – a crypto drama with twists, turns, and a chase that's far from over. Stay tuned for the next chapter in this gripping saga!
