• WazirX froze $3 million of the $230 million stolen in a July 2023 cyberattack, marking progress in tracing stolen crypto assets.
• Authorities linked the attack to North Korean hackers, with WazirX collaborating globally to maximize recoveries through legal and forensic efforts.

In a significant breakthrough, WazirX, a leading cryptocurrency exchange in India, announced the freezing of approximately $3 million in stolen assets, marking the first major recovery since a cyberattack that shook the country’s crypto ecosystem six months ago.

The cyberattack, which occurred on July 18, led to the theft of over $230 million in digital assets, dealing a severe blow to public trust in cryptocurrency platforms. Following the breach, WazirX’s parent company, Zettai Pte Ltd, launched a coordinated effort with law enforcement agencies, forensic experts, and legal advisors to trace and retrieve the stolen funds.

International collaboration played a crucial role in identifying the perpetrators. A joint statement issued on January 14 by the United States, South Korea, and Japan attributed the heist to North Korean hackers associated with the Democratic People’s Republic of Korea (DPRK).

Nischal Shetty, founder of WazirX, expressed the company’s determination to recover additional stolen assets.

“This is just the beginning. We are fully committed to recovering the stolen funds, leaving no stone unturned to maximize recoveries. We deeply appreciate our users’ patience and support as we navigate this challenging situation,” Shetty stated.

Jason Kardachi, Managing Director and Co-Head of Global Restructuring Practice at Kroll, which is overseeing WazirX’s restructuring efforts, highlighted the dual approach of on-chain forensic analysis and legal actions.

“The company is well-prepared to maximize the recovery of stolen assets for the benefit of scheme creditors,” Kardachi noted.

WazirX’s recovery of a portion of the stolen funds represents a glimmer of hope for affected users and could serve as a blueprint for similar cases in the industry. However, the road to fully regaining the remaining assets remains uncertain.

Editorial Note: This news article has been written with assistance from AI. Edited & fact-checked by Harshajit Sarmah.