PANews reported on February 5 that according to Cryptonews, Indian crypto exchange WazirX warned on Tuesday that repayments related to the $234 million hacking incident may be delayed - possibly until 2030 - depending on the results of its restructuring plan. In a post on the X platform, the company outlined two possible scenarios: one in which the restructuring plan is approved and the other in which it is rejected. "Two roads, two completely different results," WazirX emphasized, urging creditors to carefully consider their options as the voting process approaches.
According to a chart released by WazirX, if the restructuring plan is successful, it will allow for a structured repayment plan that will allow creditors to recover their funds more quickly. This approach will also benefit from a profit-sharing mechanism, potentially increasing the amount ultimately recovered. However, if the restructuring plan is not approved, creditors could face years of uncertainty as the company's ownership dispute remains unresolved. WazirX warned that no next steps can be taken until this legal dispute is resolved, which will result in a significant extension of the repayment schedule. If WazirX enters liquidation, creditors may see a reduction in repayment amounts due to liquidation costs and a lack of additional recovery mechanisms. The company also warned that the lengthy process could mean creditors would miss out on future market gains as their assets could depreciate when they are finally distributed.
