WazirX Restructures After $240 Million Hack: What It Means for Indian Exchanges

India’s largest cryptocurrency exchange, WazirX, is undergoing a major internal restructuring after a massive $240 million security breach shook investor confidence. The hack, which exposed vulnerabilities in the platform’s systems, has sparked a wider debate on crypto safety and the future of digital asset trading in India.

According to reports, the breach targeted WazirX’s wallet infrastructure, leading to one of the biggest crypto thefts in Indian exchange history. In response, the company has initiated a complete overhaul of its security framework, appointing new cybersecurity advisors and introducing stricter multi-layer authentication for user wallets. The move aims to restore trust among traders who rely heavily on the platform for daily transactions.

The incident has also reignited discussions about the lack of clear regulation for crypto exchanges in India. While platforms like WazirX operate under existing fintech norms, there is still no comprehensive framework from the Reserve Bank of India or the Ministry of Finance to govern their operations. This gap leaves users exposed in case of security lapses or fraud.

Industry experts believe that the WazirX episode will push Indian exchanges to prioritize transparency and independent audits. For investors, it serves as a reminder to diversify their holdings and use self-custody wallets instead of keeping large amounts on exchanges.

As WazirX rebuilds its systems and reputation, the larger crypto community in India faces a crucial turning point. The hack has made one thing clear—security and regulation are no longer optional; they are essential for the long-term survival of digital finance in the country.