WazirX faces backlash on ‘socialized loss strategy’ after $230 million exploit | Headlines | News | CoinMarketCap
07/30/2024 00:23
Indian cryptocurrency exchange WazirX is facing backlash after announcing a plan for a “socialized loss strategy” on Saturday, following the July 18 …
Indian cryptocurrency exchange WazirX is facing backlash after announcing a plan for a “socialized loss strategy” on Saturday, following the July 18 security breach that resulted in the loss of approximately $230 million, or roughly 45% of its assets.
In a Saturday post to X, WazirX co-founder Nischal Shetty outlined what he claims are two paths forward for the exchange following the breach:
- "Legal proceedings: It takes years and the outcome is distribute what is left of the assets. Legal fees will add up as well, matter drags for years. No one gets anything until then. Outcome is similar to socialise the loss structure.
- "Socialise loss & rebuild: First socialise the loss. Then rebuild by growing the business where you can distribute any profits and find more …