WazirX Restructuring Plan Rejected by Singapore Court, Company Plans to Appeal

The restructuring plan was proposed by Zettai Pte. Ltd., WazirX’s parent company. It aimed to return cryptocurrency tokens to users based on the amount they held. This would have been done in crypto assets instead of cash. But the court did not approve the method.

WazirX says it respects the court's decision but plans to appeal. The company believes its proposal is fair and gives users a better chance of getting value from their frozen funds.

Users Still Waiting

This ruling means that many users who have been waiting to get their money back will now have to wait longer. WazirX has been facing problems for more than a year. Users have had trouble withdrawing their assets due to ongoing financial and legal issues.

The company has faced scrutiny from Indian authorities in the past, including investigations related to money laundering. While WazirX has denied any wrongdoing, the issues have hurt its image and trading activity.

Next Steps

In a statement, WazirX said:
"We will be filing an appeal. We remain committed to treating our users fairly and will continue working toward a solution."

Experts say this is a new and complex situation. Since cryptocurrencies are still not fully understood in many legal systems, courts are being very cautious in how they treat digital assets.

For now, users and investors will have to wait and see whether WazirX’s appeal will be accepted or if a new plan will be needed.