WazirX has released an Asset Rebalancing and Allocation Plan, which will involve issuing a recovery token to compensate for the stolen funds.

BlockBeats News, December 19th, Indian cryptocurrency exchange platform WazirX released a key update on reallocation and distribution, under a scheme approved by creditors and recognized by the court:

1. Net platform assets will undergo reallocation to ensure fair value distribution and maximize recovery. After the scheme takes effect, scheme creditors will receive the first distribution of reallocated platform assets in token form within 10 working days.

2. Recovery Tokens (RTs) will be issued, and the company will use these tokens to further distribute recovery amounts to scheme creditors from surplus, non-liquid wallet assets recovery, and stolen assets recovery, enabling scheme creditors to capture potential market upside opportunities. If the net recovery amount available for purchasing RTs exceeds $10 million, the company will provide quarterly quotes to scheme creditors for purchasing RTs; amounts below this will be deferred to the next quarter for a similar purchasing capacity assessment.

3. The future trading functionalities of RTs are being evaluated to provide additional flexibility to creditors.

4. To ensure a smooth process, any withdrawals of distributions made under the scheme must comply with KYC and risk management requirements.

BlockBeats previously reported that on July 18th, Indian cryptocurrency exchange platform WazirX fell victim to a hack, with its Ethereum network multisig wallet being compromised. A total of $234.9 million has been transferred to a new address. The caller of each transaction was funded by Tornado Cash.