Is WazirX Safe and Legal in India? Status After the Hack
WazirX is legal and FIU-registered, but is it safe after the 2024 hack? See what users got back, what is still frozen, and how to judge it in 2026.
Yes, WazirX is legal to use in India. Its Indian operator, Zanmai Labs Pvt Ltd, is on the government's list of 54 virtual digital asset (VDA) service providers registered with FIU-IND, tabled in the Lok Sabha on 30 March 2026. It is safer than it was in 2024, but not risk-free: users with claims have so far received about 85% of them, and 34% of older rupee balances frozen in 2024 still had no release date at the end of August 2026.
Key takeaways
- WazirX (Zanmai Labs Pvt Ltd) is entry 8 on the government's list of 54 FIU-IND registered VDA service providers, as of 9 March 2026.
- FIU-IND registration is an anti-money-laundering registration. It is not an RBI licence and it does not protect your money.
- Hackers took about $235 million from a WazirX wallet on 18 July 2024. Trading restarted on 24 October 2025 after a Singapore court approved a repayment scheme.
- Users received about 85% of their approved claims in crypto. The rest was issued as Recovery Tokens, which pay out only if money is recovered.
- 34% of older rupee balances was frozen in 2024 because of law-enforcement investigations into third parties. As of 31 August 2026, WazirX had given no date for its release.
WazirX in India at a glance (3 October 2026)
| Question | Answer |
|---|---|
| Is it legal to use? | Yes. Crypto is legal to buy, sell and hold in India, and WazirX is registered with FIU-IND. |
| Indian company | Zanmai Labs Pvt Ltd (entry 8 on the March 2026 government list) |
| Group company | Zettai Pte Ltd, Singapore, which ran the restructuring |
| Trading status | Open since 24 October 2025 |
| Rupee deposits | UPI and IMPS/NEFT bank transfer |
| 1% TDS | Deducted automatically on sales |
| Custody | Moved to the institutional custodian BitGo at relaunch |
| Our score | 7.0/10, #10 of 12 in our app ranking |
For fees, features and the full scoring, read our WazirX review. This page answers a narrower question: can you trust it with your money now?
Is WazirX registered with FIU-IND?
Yes. On 30 March 2026 the Minister of State for Finance answered Lok Sabha Unstarred Question No. 5805 with a list of the 54 VDA service providers registered with FIU-IND as reporting entities as of 9 March 2026. Entry 8 is Zanmai Labs Pvt Ltd, trade name WazirX, country India. Other Indian names on that list include CoinDCX, ZebPay, CoinSwitch, Mudrex and Pi42.
Registration means WazirX must verify its users, keep records and report suspicious transactions to FIU-IND under the Prevention of Money Laundering Act. It does not mean the government has approved WazirX or will cover losses. The same Lok Sabha answer says FIU-IND does not publish its register because a public list could make people think registered platforms are licensed or endorsed, and could mislead users into expecting protection if they lose money. There is also no RBI licence for crypto exchanges, as our page on the "RBI-approved" crypto exchange myth explains. Crypto is not legal tender either; our guide on whether cryptocurrency is legal in India covers the wider rules.
WazirX is not on the government's list of 53 platforms directed for takedown, and it has not been named in any of the FIU-IND blocking actions against offshore platforms (9 in December 2023, 25 in October 2025 and 15 in September 2026, which we covered in FIU-IND's action against 15 offshore exchanges). Those actions targeted unregistered foreign platforms. Our FIU-registered exchanges list shows where WazirX sits against its rivals.
What happened to WazirX: a timeline
| Date | Event |
|---|---|
| August 2022 | The Enforcement Directorate froze over ₹64 crore in WazirX bank balances during a probe into instant loan apps. It allowed the accounts to be used again in September 2022. |
| 18 July 2024 | Attackers drained about $235 million from a multi-signature wallet run with the custody provider Liminal. WazirX paused withdrawals and trading. |
| 26 August 2024 | Rupee withdrawals reopened in phases, capped at 66% of each INR balance. The other 34% stayed frozen. |
| 14 January 2025 | In a joint statement with Japan, the United States and South Korea attributed the theft to North Korean hackers. |
| June 2025 | The Singapore High Court declined to approve the first version of the repayment scheme. |
| July to August 2025 | The court allowed a revote on an amended scheme. About 95.7% of voting creditors by number and 94.6% by value backed it. |
| 13 October 2025 | The Singapore High Court sanctioned the scheme. It took effect on 15 October 2025. |
| 24 October 2025 | Trading restarted, with tokens switched on in stages until 27 October. |
| Late October to November 2025 | The first distribution, about 85% of each approved claim, was paid in crypto within 10 business days of the restart. |
| 9 January 2026 | WazirX said Recovery Tokens had been credited to all eligible users. |
| 31 August 2026 | At a public AMA, WazirX gave no date for releasing the frozen 34% of older rupee balances. |
Is WazirX safe now?
Safer than in 2024, but you should judge it on four separate risks.
1. Custody risk
The 2024 loss came from a wallet whose signers approved a transaction that was not what their screens showed. Since the relaunch, custody has moved to BitGo, a large institutional custodian. That is a real change, but no custody set-up removes hacking risk. Our explainer on how crypto hacks happen shows why even large platforms get hit.
2. Repayment risk
Under the scheme, users with approved claims received about 85% of their claim in crypto. The remaining part was issued as Recovery Tokens. WazirX reviews recoveries every quarter; when at least $10 million of value is available in a cycle, part of it is used to buy back Recovery Tokens, and smaller amounts are carried forward. The tokens cannot be traded at present. Treat them as a possible bonus, not as money you have.
3. Frozen rupee balances
When rupee withdrawals reopened in August 2024, WazirX said 34% of INR balances was frozen by law-enforcement agencies investigating third parties, not Zanmai Labs itself. That money is separate from the hack. As of WazirX's AMA on 31 August 2026, there was still no date for its release. If part of your old INR balance is locked, keep your WazirX emails and the in-app balance screen as records.
4. Company and legal risk
Under the amended scheme, Zettai agreed to hand the platform's crypto operations to Zanmai Labs in India. Indian users are therefore dealing with an Indian, FIU-registered company again. Even so, the 2024 episode showed that a scheme can take more than a year and can still leave users short. Our guide on what happens to your crypto if an exchange shuts down explains why.
What this means for you
- Using WazirX is legal. You do not need permission to open an account, and trades on it are reported and taxed like trades on any Indian exchange.
- Do not park large balances there. Keep only what you trade on any exchange, and move long-term holdings to a wallet you control. Learn how to protect a seed phrase before you do.
- Check your claim records. If you held funds on 18 July 2024, note your approved claim, the first distribution you received and your Recovery Token balance in the Funds tab.
- Compare before you choose. WazirX scores 7.0/10 in our ranking, behind CoinDCX (8.4), Giottus (8.2) and CoinSwitch (8.1). Our CoinDCX vs WazirX comparison and our list of the best crypto apps in India show why.
- Test withdrawals early. Move a small amount out before you rely on the platform. Our step-by-step guide on withdrawing crypto to a bank account shows the process.
Tax on WazirX trades
WazirX deducts 1% TDS on sales, which shows up in your Form 26AS and AIS. The thresholds are ₹50,000 a year for specified persons and ₹10,000 for everyone else. Profits are taxed at a flat 30% plus 4% cess under the rules introduced as Section 115BBH. Only the cost of buying is deductible, and losses cannot be set off against other income or carried forward. You report trades in Schedule VDA of your return.
| Example | Amount |
|---|---|
| Bought bitcoin on WazirX | ₹1,50,000 |
| Sold it for | ₹2,00,000 |
| TDS deducted at sale (1%) | ₹2,000 |
| Taxable gain | ₹50,000 |
| Tax at 30% plus 4% cess | ₹15,600 |
| Still to pay after TDS credit | ₹13,600 |
Recovery Tokens and scheme distributions raise their own questions about cost and timing. Keep every statement and ask a tax adviser before you file. Our crypto tax in India guide and 1% TDS explainer have the details.
How WazirX compares with other platforms
Every exchange in this series has a different risk. ZebPay and Mudrex are Indian and FIU-registered with no comparable hack. KuCoin is a registered offshore exchange that was penalised first. Bitget is not registered at all and is on the government's takedown list. CoinDCX lost about $44 million from an internal operational account in July 2025 but said it covered the loss from its own reserves, as our page on whether CoinDCX is safe explains. WazirX stands out because its users carried the loss and could not withdraw for more than a year.
How to check any exchange in five minutes
- Find the legal company name and FIU-IND registration number (it starts with "VA") in the platform's terms or compliance page.
- Check the company against the list of 54 registered providers tabled in the Lok Sabha on 30 March 2026, which our FIU list reflects.
- Search for FIU-IND penalty orders and blocking notices that name the platform.
- Read how it holds funds: custodian, proof of reserves and any past incidents.
- Send a small test withdrawal to your bank and to your own wallet before you deposit more.
Related guides
- Is Giottus safe and legal in India?: FIU status and fees checked.
- Is Unocoin safe and legal in India?: history and FIU status.
- Is Bitbns safe and legal in India?: registration and the withdrawal delays explained.
FAQ
Is WazirX legal in India in 2026?
Yes. Zanmai Labs Pvt Ltd, which runs WazirX in India, is on the government's list of 54 FIU-IND registered VDA service providers tabled in the Lok Sabha on 30 March 2026.
Is WazirX safe now after the hack?
It is running normally again with custody at BitGo, but users who held funds in July 2024 received only about 85% of their claims so far. Keep only trading balances on it and hold the rest in your own wallet.
Is WazirX FIU registered?
Yes, as Zanmai Labs Pvt Ltd. FIU-IND registration is an anti-money-laundering requirement, not a licence or a guarantee of your funds.
Did WazirX users get their money back?
Partly. Eligible users received about 85% of their approved claims in crypto after trading restarted on 24 October 2025, plus Recovery Tokens that pay out only if more value is recovered.
Why is 34% of my WazirX INR balance still locked?
WazirX says that part of older rupee balances was frozen by law-enforcement agencies investigating third parties. At its 31 August 2026 AMA it gave no date for the release.
Is WazirX banned in India?
No. WazirX has never been on any FIU-IND blocking list, and crypto itself is legal and taxed in India.
This article is AI-assisted, educational and general in nature. It is not financial advice and never a guarantee of profit. Every trade is at your own risk on your own exchange. See our risk disclosure and editorial policy.
