Binance fires back at WazirX over control claims

Binance has denied responsibility for the WazirX cyberattack, stating that it never controlled the platform or the compromised wallet.

Cryptocurrency exchange Binance has publicly denied claims of responsibility for a recent cyberattack on Indian cryptocurrency exchange WazirX, insisting that it never controlled the platform. Binance also criticized WazirX co-founder Nischal Shetty for misleading statements.

Binance denied allegations that it acquired or controlled WazirX in a blog post dated September 17, claiming that it “did not own, control or operate WazirX at any time before, during or after the July 2024 attack.” Binance criticized Shetty for using misleading statements that sought to shift blame for the attack, which targeted a wallet managed by WazirX and third-party custodian Liminal.

“[…] [Nischal Shetty] “It is an attempt to shift blame and suggest that Binance is somehow responsible for losses suffered by WazirX users and creditors as a result of the cyberattack. This is false and any such suggestion is extremely misleading.”

Binance

Binance distances itself from WazirX collapse

Binance has previously provided technology solutions to WazirX, but has denied any responsibility for the aftermath of the attack. Binance said that after WazirX’s funds were removed from its platform due to a failed acquisition deal, the selection of Liminal as the custody provider was made independently by Shetty and Zettai, and Binance was not consulted or informed.

WazirX suffered a $235 million loss from the July 18 cyberattack, which severely impacted the exchange and led it to seek a Scheme of Arrangement in Singapore, a restructuring process under local bankruptcy laws. A subsequent independent audit by Grant Thornton found no evidence implicating Liminal Custody’s infrastructure in the multimillion-dollar attack.