Singapore Court Rejects WazirX’s Restructuring, Moves to Panama

• Lyla Velez
• June 4, 2025
• Uncategorized
• 0 Comments

WazirX experienced a setback when the Singapore High Court dismissed its restructuring plan and the company subsequently moved operations to Panama. This decision, announced on June 4, 2025, marked a notable shift for the Indian cryptocurrency exchange.

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The move away from Singapore signifies a major operational change for WazirX, impacting thousands of users and reflecting broader trends in cryptocurrency regulation.

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The Singapore High Court’s action against WazirX, citing a “lack of transparency,” led to the cryptocurrency exchange’s relocation to Panama. Judicial Commissioner Kristy Tan dismissed the restructuring petition presented by WazirX’s parent company, Zettai Pte Ltd, which significantly impacted the exchange’s operational direction. The court disclosed WazirX’s secret formation of a new entity in Panama under the name “Zensui.”

User funds worth approximately $250 million have remained inaccessible for nearly a year after a significant hacking incident. WazirX’s proposed restructuring plan, rejected by the court, intended to reimburse 85% of the impacted funds. Users, numbering around 4.4 million, face continued uncertainty over the recovery of their assets. Ongoing regulatory pressures from Singapore, including a directive to halt unlicensed operations, contributed to the exchange’s decision to relocate its base to Panama (source).

This situation reflects increasing challenges for unregulated cryptocurrency exchanges globally, requiring careful navigation of legal frameworks. Lack of transparency and securing user trust emerge as critical aspects for the crypto industry’s sustainable growth. As Nischal Shetty, Founder of WazirX, noted, “Our primary focus remains to begin distributions as soon as possible. Towards this goal, we are currently evaluating all available legal options in consultation with our legal and advisory teams and will be appealing against the decision of the Singapore High Court.”

Historical trends show regulatory arbitrage attempts as firms respond to tightening cryptocurrency controls, potentially impacting trade dynamics and innovation pathways.