After major fund movements were detected originating from Binance and Wazirx exchange wallets amounting to $200 million (Rs 1700 crore), many had speculated that Binance might step in to compensate WazirX users post the Rs 2000 crore hack. However, WazirX management clarified on Friday that it was just a “temporary consolidation of assets” in the process of rebalancing tokens.
On Wednesday, several crypto sleuths flagged the movement of $200 million into a single wallet allegedly controlled by WazirX. This sparked theories of a Binance-led bailout, with some on Twitter pointing to data from Arkham Intelligence that appeared to corroborate the idea.
One user tweeted, “Evidence from on-chain movements hints at a potential reimbursement announcement… Binance may have provided funding, possibly in exchange for equity or token-based compensation.”
Another boldly speculated, “95%+ chance they’re preparing to reimburse victims—likely announced in the coming days.”
However, WazirX has firmly denied these claims, leaving users perplexed and increasingly distrustful.
“We are currently in the process of rebalancing tokens… Fund movements between cold wallets are part of this effort. Once completed, we’ll share a comprehensive list of wallets and their holdings.”
However, this reassurance did little to quell the speculation. The timing of the $200 million transfer from a wallet linked to Binance to WazirX’s cold wallet only intensified the debate.
Changpeng Zhao (CZ), Binance’s founder, hasn’t minced words about his strained relationship with WazirX. Following the fallout of their acquisition deal in 2022, CZ distanced Binance from WazirX, even urging users to withdraw their funds.
In a December 2 tweet, CZ addressed the hack and broke his silence, stating, “Sorry to hear about what happened. I was in a US prison when that happened. I was as explicit as I could be before.” He reiterated Binance’s lack of involvement, leaving many users questioning who, if anyone, would step in to recover their lost funds.
He reiterated Binance’s lack of involvement, leaving many users questioning who, if anyone, would step in to recover their lost funds.
The recent developments have only deepened the mystery. Users are left wondering: If Binance isn’t intervening, why are the significant fund transfers now? Is WazirX preparing a reimbursement plan or merely consolidating assets as claimed? And why has there been no transparency after five months of silence?
For the 4.4 million affected users, the lack of clarity is a bitter pill to swallow. The hope ignited by speculation has turned into frustration, as WazirX’s reassurances and Binance’s denials fail to align with the on-chain evidence.
Also Read: WazirX Now Keeps Rs 250 Crore of User Funds as “Cost Reserves”, Many Upset
