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Zettai, the parent entity of Zanmai Labs, which operates WazirX cryptocurrency exchange in India, has filed an application with the Singapore High Court for leave to convene a meeting of its creditors.

The application, which was submitted on December 6, 2024, if granted, will allow the company to convene a meeting of WazirX users (scheme creditors). The company said that the scheme will only become effective if it is approved by the requisite majority of the scheme creditors and approved by the High Singapore Court.

Currently, the proposed scheme, pending approval, includes initial distributions within 10 business days after the scheme has become effective.

The scheme involves the distribution of the company’s net available liquid funds, which are reportedly sufficient to cover over 100% of the USD value of liabilities as on July 18. The funds will be disbursed to scheme creditors in proportion to the token balances held in their portfolio. This move is expected to ensure the creditors benefit from the ongoing crypto bull run with Bitcoin prices surging past $100,000.

“The restructuring scheme reflects our unwavering commitment to creditors during this challenging time,” said Nischal Shetty, Founder of WazirX.

“By voting ‘yes’ in favour of the Scheme of Arrangement, creditors will empower us to prioritise timely distribution and create an operational framework that ensures long-term stability,” he added.

In July, WazirX suffered a cyberattack, in which hackers allegedly stole over $230 million worth of assets from the platform. Following the attack, the company filed a First Information Report (FIR) in New Delhi a day after the breach.

Around a month later, the Intelligence Fusion and Strategic Operations (IFSO) of Delhi Police made an arrest in connection with the heist, and a chargesheet was filed, as viewed by YourStory.

In August, Zettai filed an application with the High Court of Singapore for a moratorium under Section 64 of the Insolvency, Restructuring and Dissolution Act, 2018.

(Disclaimer: This is a developing story and the copy will be updated)