The long wait may soon be over for WazirX users impacted by the 2024 cyberattack. After months of legal proceedings, technical structuring, and regulatory reviews, a major milestone is now within reach: the First Distribution—a partial crypto repayment to users—is expected to begin once the Singapore High Court sanctions the restructuring scheme.
What’s critical to understand is that the First Distribution is already built into the restructuring plan. Whether the Court clears the existing proposal (the “Original Scheme”) or opts for a slightly modified version (the “Amended Scheme”), the path to repayments is clearly defined. And for users, this means one thing: progress is real, and it’s finally tangible.
What Is the First Distribution?
The “First Distribution” refers to an initial tranche of crypto assets that Zettai Pte Ltd—the Singapore-based entity handling WazirX’s restructuring—will distribute to affected users. These funds have already been recovered or secured and are earmarked for disbursement as part of the court-approved restructuring scheme.
This is not speculative or symbolic. The First Distribution is part of a legally binding Scheme of Arrangement, which was approved by creditors and filed with the Singapore High Court. It represents a concrete first step toward user repayment.
The Original Scheme: Fully Legal, Fully Prepared
Under the Original Scheme, Zettai will make a one-time crypto distribution to users as soon as the Court approves the plan. After that, Zanmai Labs (India)—the entity that previously managed the WazirX platform and is already registered with India’s FIU-IND—will resume operational control of the exchange.
This legal structure was challenged briefly in Court, with questions raised about whether Zettai’s role in crypto distribution might violate Singapore’s Financial Services and Markets Act (FSMA). However, Zettai quickly sought guidance from the Monetary Authority of Singapore (MAS).
In a major win for the restructuring plan, MAS clarified that Zettai’s limited, one-off distribution activity does not breach FSMA Section 137(3)—as long as the distribution:
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Is done outside Singapore,
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Is non-repetitive and non-commercial,
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And is part of a court-sanctioned plan.
This clarification eliminates the core legal risk and reinforces the fact that the Original Scheme is lawful and ready to be implemented, without requiring any additional vote.
The Amended Scheme: A Backup Plan, Not a Setback
Despite MAS’s green light, the Court still has discretion. If it decides that Zettai should not carry out the crypto distribution directly, there’s a fallback: the Amended Scheme.
Under this version:
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Zensui, the Panama entity, would handle the crypto distribution.
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Users would receive their funds via Zanmai Labs, ensuring smooth withdrawal for Indian users.
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The rest of the process remains the same—same assets, same user rights, same payout structure.
The affidavit confirms that the Amended Scheme only modifies the distributing entity, not the users’ entitlements. The First Distribution still happens. The difference is who executes it.
Will There Be Another Vote?
A big question in the community has been: “Do users need to vote again?”
The answer: Not necessarily.
If the Court approves the Original Scheme (which already received a majority vote), no further vote is required. The MAS clarification supports this outcome.
Only if the Court prefers the Amended Scheme—based on a technical preference for using Zensui instead of Zettai—will a second vote be necessary. And even then, Zettai has already filed an execution plan:
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A re-vote could be completed in 30 business days.
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No re-verification of users or claims would be needed.
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Users will vote on only one material change: the distributing entity.
In short, a re-vote wouldn’t significantly delay the process, and the First Distribution remains the immediate next step, regardless of the path.
Legal Infrastructure, Regulatory Backing, Operational Readiness
What stands out in this restructuring process is the level of preparedness shown by WazirX’s restructuring team. From securing legal opinions to proactively engaging MAS, and from defining separate roles for Zettai, Zensui, and Zanmai, the effort has been compliance-driven and user-focused.
The restructuring is not just about restarting a crypto exchange—it’s about rebuilding trust and repaying users in the most legally secure and transparent way possible.
What Users Should Do Now
As the Court decision nears, users are encouraged to:
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Ensure their KYC details are accurate with Zanmai.
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Monitor official WazirX communication channels for withdrawal timelines.
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Be cautious of phishing or impersonation schemes claiming early access.
Once the Scheme is sanctioned, crypto withdrawals under the First Distribution will begin, marking the first real recovery of assets since the 2024 hack.
The Beginning of the End—or the End of the Beginning?
The First Distribution is not the final chapter, but it’s arguably the most meaningful one yet. It signals to users that this is not another abandoned exchange or failed recovery attempt. It’s a platform fighting to return, backed by structure, legal clearance, and real crypto reserves.
The countdown has begun.
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