• WazirX and Binance have a contentious relationship over the opaque ownership of WazirX.
• After Binance gave WazirX a few hours to withdraw all its funds, WazirX responded by transferring assets to multi-signature wallets.
• WazirX then threatened Binance with legal action due to the unsubstantiated allegations in their blog post.
The Indian crypto exchange WazirX has been subject to ongoing confusion and speculation regarding its ownership over the past two weeks. This led to a heated exchange between the CEOs of both companies, Changpeng Zhoa from Binance and Nischal Shetty from WazirX.
On February 3rd, Binance issued a statement giving its estranged partner just a few hours to withdraw all funds from its wallets and accounts. In response, WazirX tweeted that it was in the process of transferring assets to multi-sig wallets which they expected to complete within the next few hours.
In an official statement released on February 7th, WazirX reassured users that digital assets were stored in accordance with industry leading standards and that there was no need for concern despite their fallout with Binance. They also threatened legal action against Binance due to false and unsubstantiated allegations made in their blog post.
Industry Leading Standards
WazirX stated that user funds are stored in multi-signature wallets which adhere to industry-leading standards, providing greater security for customers’ digital assets.
The dispute between these two exchanges shows no sign of abating any time soon as both parties continue accusing each other of making unsubstantiated claims about ownership and other matters related thereto. It remains unclear how this situation will be resolved or what impact it may have on either company going forward.