WazirX Takes Important Step in Post-Hack Recovery with Recovery Token Release

RTs effectively work as contingent claims, linking user outcomes to WazirX’s ability to generate profit and return assets over time.

India’s largest crypto exchange, WazirX, has taken another visible step in its long recovery process after the 2024 hack, confirming on January 9, 2026, that Recovery Tokens have been issued to all eligible users under its court-approved restructuring plan.

This move sets the stage for users to be able to reclaim up to 75–80% of their locked funds over time, depending on future earnings and asset returns.

Redemption Tokens Issued As A Forward Restructuring Program

In a post shared on X, WazirX said Recovery Tokens, or RTs, were issued within the 60 business day timeline set out in its restructuring plan. The exchange added that users can now see their allocations directly from the Funds tab of the WazirX app.

According to the company, the tokens are given on a pro rata basis, which means that each user’s share reflects the size of their authorized claim, without special treatment. It marked the update as a milestone following the platform’s relaunch in late October last year.

When trading resumed, eligible users received an Initial Distribution representing approximately 85% of their authorized claims, based on the reference prices set under the scheme. The newly issued RTs represent the remainder of the user claims and give the holders the right to repurchase the company in the future, provided that sufficient value is received.

The exchange emphasized that the RTs are not currently being traded. Under the plan, it will review the findings within three months. If at least $10 million of the unmetered amount is available in the cycle, part of that amount will be used to restore RTs, and create another distribution for users. Minimum refunds will be carried forward until the limit is reached.

How Hacking Decisions and Courts Have Shaped the Way Back

The recovery effort stems from a July 2024 exploit that siphoned more than $230 million from the WazirX multisignature wallet. Blockchain data later showed huge amounts of Shiba Inu (SHIB), Ethereum (ETH), and other tokens being moved and traded, clearing close to 45% of the exchange’s reserves. The incident kept the forum offline for more than a year and sparked legal disputes over how losses should be shared.

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In October 2025, the Madras High Court struck down WazirX’s initial plan to distribute losses to all users. The court ruled that client assets such as XRP cannot be used to offset unrelated platform losses, ensuring that cryptocurrencies remain the property of individual users. That ruling, along with approval from Singapore’s High Court and support from more than 95% of voting creditors, pushed WazirX toward a more structured, petition-based bailout.

Under the current setup, Recovery Tokens keep users tied to the future process without forcing snap decisions. WazirX said the tokens may be sold later, subject to regulatory approval, giving users the option to exit early or hold on to the upside.