Crypto-exchange WazirX on Wednesday said that it is in the process of forming a Committee of Creditors (COC) to aid the company’s restructuring process following the $234.9 million crypto heist.
The committee will consist of 10 COC members whose identities will remain confidential to the credit base, according to a blog post.
The members will be responsible for providing the company with feedback on creditor preferences and priorities, monitoring restructuring progress, and representing creditors’ interests.
The blog post said that the company and its advisors expect to complete Phase 1— the formation of a contingent creditor pool—by October 3 and issue emails to creditors. These creditors can indicate their interest in being a COC member by October 7.
Phase 2— potential COC member pool—will be complete by October 8 and the committee will be formed on October 9.
In July, WazirX temporarily halted withdrawals following a security breach involving its Safe Multisig wallet. It said that $234.9 million worth of assets were transferred to an unknown address.
WazirX, in August, said that users will soon be able to withdraw up to 66% of their INR balances.
In September, Zettai Pte Ltd, the parent entity of Zanmai Labs which operates WazirX in India filed an application with the High Court of Singapore for a moratorium under Section 64 of the Insolvency, Restructuring and Dissolution Act, 2018.
The court granted the company a four-month moratorium last week, allowing it to roll out a restructuring process to partially pay back funds to affected users.
In a media town hall last month, the company said that it considering a range of options in the aftermath of the cyberattack, referring to partnerships and collaborations. However, it declined to disclose more information.