Famous Indian crypto exchange WazirX, which lost $234 million in July to a hack, announced on Wednesday that it will restart spot and derivatives trading on its platform alongside staking and over-the-counter (OTC) transactions to speed up its fund recovery process.
A significant facet of WazirX’s recovery plan is launching a new decentralized exchange (DEX) to boost security while striving to gain more liquidity.
Trading Restarts
As revealed by the hacked exchange, it is set to restart spot trading on its platform for both old and new customers to gradually raise its trading volume again.
WazirX will also kickstart futures trading to welcome more users. This will allow customers to speculate on the price of specific crypto assets and trade on the exchange with leverage options to maximize their profits.
The recovering exchange also plans to process large-scale transactions by setting up an OTC desk for institutional crypto investors and high-net-worth individuals.
While WazirX plans to increase its trading volume, it also wants to repay the funds that users lost from the hack; thus, it has decided to share the trading fees among different creditors, gradually refunding them.
New Decentralized Exchange
According to WazirX’s latest release, the exchange’s new DEX is designed to integrate the user-friendly trading experience of a centralized exchange (CEX) with the high security of decentralized crypto transactions.
WazirX’s DEX will also feature crypto staking, which allows users to earn rewards as they stake their token balances over time to support a blockchain network and participate in the blockchain’s consensus mechanism.
Notably, the new DEX is a part of the exchange’s strategic revenue streams as it plans to encourage users to inject enough liquidity into the system by rewarding providers.
Recovery Token Airdrop
Moreover, WazirX is working to launch a Recovery Token, which will be airdropped to creditors based on their platform balances and contributions to the exchange.
Notably, the exchange will repurchase the recovery token from holders “to boost creditor recoveries and capture market movements.”
Meanwhile, before laying down its recovery and repayment plans, WazirX filed for a six-month moratorium with the Singapore court a month after its hack, and the court granted it a four-month grace period to restructure and draft a feasible repayment plan to follow as it continues operations.
