WazirX Tackles Ownership Dispute and ED Probe

WazirX Tackles Ownership Dispute and ED Probe

WazirX recently got into a public spat with Binance after the latter claimed ownership, affecting over 15 million users as of August 2022. The dispute caught a spark after Changpeng Zhai, the Chief Executive Officer of Binance, tweeted that Binance could shut down WazirX, but it can’t as it would hurt users.

Changpeng Zhao also suggested users transfer their funds to Binance. Rajagopal Menon, the Vice President of WazirX, has assured users that their cryptocurrency is safe.

Meanwhile, Zanmai Labs, the operator of WazirX India, is exploring all the available legal options to resolve the ownership dispute.

Binance retaliated by shutting down off-chain transfers to WazirX, making it difficult for the users to perform the cross-exchange transfer of funds. Binance is responsible for providing wallet services to the users of WazirX and liquidity to the platform.

The public spat between the two companies has left millions of users hanging in the middle with no idea what they should do. Some of them have started withdrawing their funds as that option is very much alive now.

WazirX is based in India as a cryptocurrency platform founded in 2018. Its economy is governed by the native token – WRX Coin. Features of WazirX that gather the attention of young investors are cross-platform support, trading platform design, and investment products, to mention a few. Know more about the features of WazirX by reading its review.

WazirX allows its users to withdraw all the funds, and users seem to be availing of that option.

Aditi Khandelwal, a 24-year young crypto investor from Jaipur, talked to the media and shared her experience, saying that she has withdrawn all her funds from the platform. Aditi Khandelwal had been contemplating the move since the collapse of Luna, and it was events in the recent days that made her take a strong stance on the idea of withdrawing her funds.

That came at a huge price of 78% loss on the total investment. Her spirits are still high as she plans on returning to the crypto trading space once there is user protection and regulations in India.

The collapse of Luna was a turning point for many crypto investors. The event was ignited after UST lost over 80% value in a week, going down from $118 in April to $0.0003 by the middle of the following month.

The Directorate of Enforcement, also known as ED, has added to the ongoing trouble by issuing a freeze order on its bank accounts worth ₹64.67 crores.

Shounak Shetty, another crypto investor, said that the sentiments among newcomers were on the lower side. He, too, acted on a similar line as that of Aditi Khandelwal, but instead of withdrawing all the funds, Shounak chose to transfer his funds to Binance until the issue with ED gets resolved.

Shounak Shetty said that he was sure the funds would remain safe at WazirX but did not want to risk losing his funds as a professional trader.

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