Essential Insights
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Recovery Tokens Issued: WazirX has credited Recovery Tokens (RTs) to eligible users, enabling them to potentially reclaim 75–80% of locked funds based on future profits and asset recoveries.
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Structured Recovery Model: Following a hack that drained over $230 million, WazirX’s recovery plan, backed by court rulings, allows users to hold RTs linked to the platform’s ability to recover value.
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Terms of RTs: The RTs are non-tradable at this stage and will enable buybacks if WazirX realizes at least $10 million in unencumbered value every three months.
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Legal Backing: Court rulings emphasized user asset ownership, leading to a claim-based recovery model supported by over 95% of creditors, following the platform’s long-awaited restart.
WazirX Takes Key Step in Post-Hack Comeback With Recovery Token Rollout
India’s largest cryptocurrency exchange, WazirX, is moving forward in its recovery efforts after a significant hack in 2024. On January 9, 2026, WazirX confirmed that Recovery Tokens (RTs) have been issued to all eligible users as part of a court-approved restructuring plan. This marks an essential milestone for the platform and its users.
The Recovery Tokens allow users to potentially reclaim up to 75–80% of their locked funds over time. The amount depends on the exchange’s ability to generate profits and recover lost assets. WazirX announced this positive update on X, noting that RTs were issued within 60 business days of its restructuring scheme. Users can now see their token allocations directly in the Funds tab of the WazirX app.
Notably, RTs are assigned on a pro rata basis, meaning each user’s share corresponds to the size of their approved claim. This approach ensures fairness, with no user receiving preferential treatment. The exchange emphasized that this development follows its restart in late October 2025, when trading resumed and users received an initial distribution representing about 85% of their approved claims.
Currently, RTs are not tradable. However, WazirX plans to review asset recoveries in rolling three-month periods. If at least $10 million in recoverable value materializes, part of that amount will be used to buy back RTs. Smaller recoveries will accumulate until reaching the threshold. This system ties user interests to the exchange’s future success while offering flexibility for holding or selling.
The hack in July 2024, which exploited a multisignature wallet, resulted in the loss of over $230 million. Legal challenges followed, leading to a significant ruling by the Madras High Court. The court concluded that customer assets could not offset platform losses, affirming individual ownership of cryptocurrencies. This pivotal decision, along with backing from over 95% of voting creditors, enabled WazirX to adopt a more structured recovery model.
In this context, RTs serve as a strategic mechanism for user engagement and recovery. WazirX aims to maintain transparency and allocate resources responsibly as it works toward stability and growth in the crypto market. The rollout marks a positive turn for the exchange and its community, highlighting the resilience of blockchain technology amid challenges.
This development illustrates WazirX’s commitment to rebuilding trust and enhancing user experiences in the evolving landscape of cryptocurrency.
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