Crypto exchange WazirX has frozen the first tranche of assets that were stolen during the cyberattack (stolen assets) worth around $3 million USDT (Tether cryptocurrency) as part of the ongoing recovery efforts following last year’s attack.
Abiding by their efforts of recovery of stolen assets while the platform goes through restructuring proceedings, WazirX said Zettai has been working in partnership with law enforcement agencies, forensic experts, investigating authorities as well as legal experts to trace and retrieve stolen assets while charting the best course of action for all of the platform’s affected users.
Speaking on the development, Nischal Shetty, Founder, WazirX said, “This is just the beginning; we are fully committed to recovering the Stolen Funds, leaving no stone unturned to maximise recoveries under a Scheme. We appreciate our users’ patience and support as we navigate this challenging situation together.”
The announcement of recovery follows a joint statement from the governments of the United States, South Korea, and Japan, which officially attributed the WazirX cyberattack to North Korean hackers.
“Efforts to recover Stolen Assets are fully under way and moving in the right direction – between on-chain forensic work and legal avenues against third parties complicit in the Hack and subsequent dissipation, the Company is well prepared to maximise the recovery of Stolen Assets for the benefit of Scheme Creditors under a scheme,” said Jason Kardachi, Managing Director and Co-Head of Global Restructuring Practice, Kroll.
The joint statement provided warning to the blockchain technology industry regarding the ongoing targeting of entities across the globe by Democratic People’s Republic of Korea (DPRK) cyber actors.
The statement said the DPRK’s cyber program threatens the three countries and the broader international community and, in particular, poses a significant threat to the integrity and stability of the international financial system.
In 2024 alone, the governments (of the US, Japan and Korea) have individually and jointly attributed multiple thefts, denominated in virtual asset value in US dollars to the DPRK: DMM Bitcoin for $308 million, Upbit for $50 million, and Rain Management for $16.13 million.
The US and Korea additionally attributed thefts last year to the DPRK against WazirX for $235 million and Radiant Capital for $50 million.
“Deeper collaboration among the public and private sectors of the three countries is essential to proactively disrupt these malicious actors’ cybercrime operations, protect private business interests, and secure the international financial system,” the joint statement said.