News Scrap

CZ indirectly said that he already did his best regarding the issues associated with the crypto exchange WazirX. Many WazirX customers are now forcing CZ to interfere in this matter to bring a better situation for the customers.

Changpeng Zhao (CZ) is the co-founder & former CEO of the top-ranked crypto exchange Binance. This year, he stepped down from the Binance CEO role & served a four-month sentence in prison as a part of a settlement with the US authorities over the charges against the Binance exchange. Binance faced charges because the exchange provided crypto trading services in the US jurisdiction without any registration with any financial regulatory body in the US. Although there was no evidence to prove the charges against Binance, CZ admitted all the charges & decided to settle with a $4 billion fine & 4 months jail sentence.

On 2 Dec 2024, A Crypto X (formerly Twitter) user tweeted by tagging Binance co-founder CZ by reminding a very old tweet of CZ where he warned people holding funds on the WazirX crypto exchange.

CZ responded to that tweet and said that he was not aware of the incident that happened with WazirX, as he was in jail at that time, & also said that he already warned people regarding WazirX.

An Indian crypto influencer, Aditya Singh, urged CZ to talk about the $17 million worth of cryptocurrencies belonging to the WazirX exchange, seized by the Binance exchange. So far, CZ didn’t respond; probably, he ignored or the tweet failed to grab CZ’s attention.

Nischal & Wazirx has been claiming that Binance has frozen 17 million of user funds which are now illiquid, will really help if you or binance can clarify more on this.

— Aditya Singh (@CryptooAdy) December 2, 2024

Many other Indian Crypto influencers urged CZ to interfere in this matter, as Binance can solve the matter & help revive the platform.

Binance vs WazirX

In late 2020, Binance announced the acquisition of the WazirX exchange, but later in 2022, Binance co-founder CZ clarified on X that the acquisition work was never completed, as the WazirX leadership failed to cooperate. At the time, CZ terminated all kinds of services & relationships with WazirX.

In July 2024, the WazirX exchange faced a hacking incident & in that incident, the exchange lost nearly 50% of the customer’s funds. Strangely, the unknown hacker hacked the exchange’s cold wallet, which is still a very big mystery. So far, many people claimed that the hacking incident was pre-planned, but no evidence has come into the public domain regarding such allegations.
For the last 4 months, the services of this exchange have been suspended & the leadership is working on a restructuring plan, but in reality, what they’re doing is totally out of knowledge of the WazirX customers.