Analysis
September 18, 2024 2:27 PM
Binance has publicly denied ownership of the Indian crypto platform WazirX and any responsibility for a recent $235 million hack. The denial comes in response to claims made by Nischal Shetty, associated with WazirX, during legal proceedings in Singapore.
Binance clarified that although a contract was signed, it never completed the acquisition of WazirX due to unmet obligations by Zettai Pte Ltd, the entity linked to WazirX. Binance maintains that it has never owned, controlled, or operated WazirX and is not a party to WazirX's User Agreement. The exchange emphasized that references to Binance in the agreement are unauthorized.
In regard to the hack, Binance stated that it instructed Zanmai, an Indian company associated with WazirX, to withdraw funds from Binance-hosted wallets in January 2023, well before the hack occurred. The decision to use Liminal as a custody solution provider was made independently by Shetty and Zettai, without Binance's involvement.
Binance has requested reports on the hack, including one from cybersecurity firm Mandiant, but has not received them. The exchange calls on WazirX to address the concerns of users affected by the lost funds, stressing that this responsibility lies with the WazirX team, separate from any dispute with Binance.
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