India’s Former Leading Crypto Exchange Makes a Comeback

WazirX, once the largest cryptocurrency exchange in India, is set to resume trading on Friday, October 24, after a suspension of more than 16 months. The platform went offline following a security breach that resulted in an estimated $230 million in losses and led to a complete halt in its operations.

What Happened and Why It Matters

In July 2024, the exchange suffered a major hack that froze customer funds and shuttered withdrawals. The downturn shook user confidence and left many retail investors in limbo. The shutdown also highlighted systemic risks and regulatory gaps in the Indian crypto market.

During the reboot process, WazirX’s parent company underwent a court-approved restructuring in Singapore, which included creditor approval and asset recovery provisions. The relaunch plan is designed to restore trust, resume services, and rebuild the platform’s user base.

Key Details of the Relaunch

• WazirX will resume trading with selected crypto-to-crypto pairs and a USDT/INR pair.
• As part of its restart offer, the exchange will waive trading fees at launch for all users, a move aimed at rebuilding market share and trust.
• The platform has announced a partnership with an institutional-grade custody provider and will delist several low-liquidity tokens and trading pairs in advance of the relaunch to enhance security and user protection.

Rebuilding Trust and Market Position

The relaunch is significant not just for WazirX but for the broader Indian crypto industry, which has grappled with regulatory uncertainty and a spate of exchange failures. WazirX’s revival could become a test case for how exchanges respond to major breaches and how they rebuild operations under heightened scrutiny.

For existing and potential users, the relaunch offers a chance to revisit the platform, but the key challenge will be whether WazirX can deliver on promises of security, transparency, and user-fund protections. The industry will watch closely to see if the exchange can regain its former prominence.

Outlook

If WazirX successfully reopens with a strong security model, transparent governance and restored customer confidence, it could mark a turning point for crypto exchanges in India. However, the relaunch will face high expectations and scrutiny from both users and regulators.

For now, the calendar sets a clear milestone: October 24.