Binance Denies Involvement in WazirX Hack and Creditor Issues

• Binance denies any ownership or operational control over WazirX during hack.
• WazirX, operated by Zanmai, responsible for compensating users after $235K loss.

Binance has issued a statement clarifying that it bears no responsibility for the financial issues at WazirX, following a $235,000 loss due to a cyber-attack on the platform in July 2024. The statement comes as rumors circulated about Binance’s involvement, which the company has labeled as “false and misleading.”

In a blog post titled *“To the WazirX Community: Correction of Zettai’s Inaccurate and Misleading Statements Concerning Binance,”* Binance distanced itself from the operational and financial problems plaguing WazirX. It is managed by Zanmai, an entity incorporated in India. Binance clarified that it has never owned, controlled, or operated WazirX, including at the time of the attack.

The attack, reported by WazirX on July 18, 2024, targeted a multisignature wallet holding user funds. The compromised wallet had five signatories from the WazirX team and one from Liminal, a third-party custody solutions provider. Binance stressed that it was not involved in the management or operations of this wallet.

Zanmai, which registered WazirX with the Indian Financial Intelligence Unit in 2023, is recognized by Indian authorities as the owner of the platform. Binance stated that references to its involvement in it’s operations or user agreements were unauthorized.

“We Are Not Liable For Any Issues”

Binance urged the WazirX team under Zanmai/Zettai to take full responsibility for compensating users affected by the hack. It dismissses attempts to shift blame as “deflection tactics.” The statement emphasized that the protection of user funds is the fundamental responsibility of any cryptocurrency platform. And it is called for accountability from Zanmai.

As of now, Binance maintains that it is not liable for any operational or legal obligations stemming from the platform’s recent issues.

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