TL;DR
- WazirX has completed the allocation of recovery tokens to eligible users, closing a defined phase of its post-hack restructuring process.
- Most recoverable liquid assets were already distributed, while recovery tokens formalize remaining user claims tied to future outcomes.
WazirX has completed the allocation of recovery tokens to eligible users, marking another procedural milestone in the exchange’s post-hack restructuring process. The allocation follows an earlier distribution of liquid assets and formally closes one defined phase of the recovery plan introduced after the 2024 security breach.
The recovery token allocation forms part of a court-supervised restructuring framework adopted after the exchange lost platform-held assets. Rather than attempting immediate full restitution, WazirX implemented a staged process designed to distribute available value while preserving claims on any future recoveries.
Two-stage recovery structure
The approved framework divided the user recovery into two stages.
The first involved the distribution of liquid assets held on the platform. According to company disclosures, eligible users received approximately 85% of rebalanced net liquid platform assets within days of the exchange resuming limited operations.
The second stage centers on recovery tokens. The exchange issued these tokens to represent users’ proportional claims on the value that it could not distribute immediately. That also includes assets subject to future realization or outcomes tied to the restructuring process.
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Allocation mechanics and eligibility
Recovery tokens were allocated on a pro-rata basis. Each eligible user received tokens corresponding to the size of their approved claim relative to the total claims pool.
Only users whose balances were verified and accepted under the restructuring scheme qualified for the allocation. WazirX has confirmed that it now completed the recovery token allocation across the platform, in line with the timelines set out in the restructuring plan. Users can view their allocated tokens through their account dashboards.
What the recovery tokens represent
The exchange has stated that recovery tokens are not cash equivalents and do not represent immediate reimbursement. Instead, they function as residual claims under the restructuring framework.
For users still wondering what WazirX recovery tokens are, the company describes them as instruments to account for any additional value that it hopes to realize over time, rather than as guaranteed payouts.
Current status
With the recovery token allocation completed, WazirX has closed one of the key procedural steps outlined in its restructuring process. The company did not announce any further distributions. However, the exchange has not provided any guidance on the eventual value of the tokens either.
Any future recoveries will depend on developments that fall outside the completed allocation phase, including asset realization and outcomes tied to the broader restructuring effort.
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A procedural milestone
The completion of the recovery token allocation marks progress in the WazirX restructuring process. However, it is not the final resolution of user losses. Most eligible users have already received the majority of recoverable liquid assets. At the same time, remaining claims are now formalized through the token framework.
The issuance closes a defined stage of the recovery plan. But the subsequent outcomes depend on future developments rather than immediate guarantees.
