Binance has pushed back against claims that it played any part in the July 2024 WazirX hack, distancing itself from responsibility for the mishandling of user funds.
The hack, which resulted in the loss of around $235 million, left millions of WazirX users unable to access their crypto assets.
WazirX, through its parent company Zettai Pte Ltd, had alleged that Binance should be held accountable for the breach.
In a recent statement, Binance rejected these claims, stating that it has never owned or controlled WazirX, either before or after the hack.
According to Binance, the responsibility for the security breach lies with Zanmai Labs, the Indian firm that operates WazirX.
Binance noted that it had cut ties with WazirX months before the incident, asking the platform to remove its user funds from Binance’s wallets.
WazirX, on the other hand, has maintained that Binance should be liable, accusing the company of contributing to the mismanagement of funds.
WazirX co-founder Nischal Shetty even submitted affidavits blaming Binance for the fallout.
However, Binance claims that Zettai and Shetty are spreading misinformation and that the company had no involvement in the decision-making process or management of WazirX’s user funds at the time of the hack.
The hack targeted a multi-sig wallet with multiple signatories, including WazirX and a third-party custodian, Liminal.
Binance emphasized that it was not responsible for the handling of those wallets and had previously warned WazirX to move its funds. The company stated that despite its repeated requests for an investigation report from WazirX, it has yet to receive any detailed explanation of the breach.
