Government Agencies Launch Probe Into WazirX's ₹2,000 Crore Hacking Incident

WazirX, one of India’s prominent cryptocurrency exchanges, is now under the spotlight of government agencies following a major cyberattack in July that led to a loss of Rs 2,000 crore (about $234 million). With millions of users still awaiting the return of their investments, concerns are rising, and authorities have stepped in to investigate the incident's impact on investors.

WazirX Under Investigation After Cyber Breach

According to a report by Money Control, several key agencies, including the Financial Intelligence Unit (FIU), Intelligence Bureau (IB), and the Indian Computer Emergency Response Team (CERT-In), have been meeting with WazirX executives to dig deeper into the cyberattack.

CERT-In, the government’s nodal cybersecurity agency under the Ministry of Electronics and IT, is focused on understanding the technical side of the hack. The IB is reviewing the security and counterintelligence aspects, while the FIU, part of the Finance Ministry, is investigating the financial transactions linked to the breach.

WazirX has shared necessary details with these agencies, including server logs, transaction trails, and blockchain addresses connected to the attack. The exchange also admitted that roughly 43% of its users could lose their digital assets, with Indian users being the most affected.

Stolen Digital Assets Being Cashed Out

Hackers have reportedly begun withdrawing stolen assets through Tornado Cash, a decentralized cryptocurrency mixing platform that operates on Ethereum-compatible networks, according to an IANS report.

Additionally, a recent report by The Crypto Times revealed that WazirX removed a YouTube video from a live town hall where it had misleadingly promised users “100% profits from future crypto price gains."