Crypto platform CoinSwitch launches Rs 600 Cr initiative to help WazirX users recover loss
CoinSwitch has earmarked the funds for two years and will aim to help users recoup their losses. Affected users can recover losses, earn rewards, and re-enter the crypto market.
Crypto platform CoinSwitch on Tuesday launched CoinSwitch Cares, a Rs 600 crore initiative for users impacted by the alleged cyber attack on WazirX in July last year that resulted in the theft of over $230 million worth of digital assets.
According to the company, it has earmarked the funds for two years and will aim to help users recoup their losses. Affected users can recover losses, earn rewards, and re-enter the crypto market.
The launch comes at a time when WazirX users have expressed concern on social media platforms about being unable to cash in on the ongoing Bitcoin rally. The company is currently in the process of reopening its platform to users.
“At CoinSwitch, we believe in putting users first. CoinSwitch Cares is our way of supporting the Indian crypto community during challenging times while fostering long-term growth. As an industry leader, we wanted to do our bit to help the ecosystem especially now, when the market has picked up. We don’t want crypto investors in India to miss opportunities. This program is an important step to rebuild what was lost,” said Ashish Singhal, Co-founder of CoinSwitch.
“Our goal is to ensure affected users don’t miss out on the current market action and put their crypto to work at the earliest. This not only provides users an opportunity to recoup losses but also to earn from trading,” added Singhal.
Affected users can deposit funds immediately onto CoinSwitch’s platform or wait for WazirX to release their funds so they can deposit them to CoinSwitch. Users can upload their WazirX statement for verifications and estimate rewards on the company’s portal.
According to the reward system, eligible users can earn up to 10% of the funds deposited through this programme over two years. CoinSwitch will pool trading revenue generated from this programme and distribute it to the affected users in proportion to their losses.
Additionally, users can earn up to 5% of the deposited funds by referring the programme to other affected WazirX users.
In August, a month after the WazirX heist, CoinSwitch initiated legal action against the company to recover around Rs 81 crore in funds stuck on the platform.
Edited by Suman Singh