Nischal Says Wazirx Users Can’t Nominate Committee Members

As an analyst with over two decades of experience in the financial industry, I find myself intrigued by the dynamic unfolding at WazirX, particularly the recent town hall meeting on October 4th. The debate surrounding the Committee of Creditors (COC) and its selection process is a critical aspect that sheds light on the complexities of managing such a large number of creditors in a restructuring proceeding.


At the third community gathering on October 4th, Nischal Shetty, the brainchild behind WazirX, firmly rejected a creditor’s proposal to select just one member from their preferred Committee of Creditors (COC). As an investor in this crypto space, I found his stance assertive and encouraging, signaling a commitment to fair representation for all parties involved.

The main topic discussed at the meeting was establishing the Committee of Creditors (COC), which was made possible following a four-month halt granted by a Singapore court on September 24. This committee will enable ten creditors who have been elected to engage with the WazirX team, offering their insights regarding the restructuring procedure.

At the question-and-answer part of the gathering, a lender proposed that Nischal Shetty should permit a vote to decide on just one member from the COC. He expressed doubts about WazirX’s selection method, fearing that the chosen individual might struggle to communicate effectively and address problems or represent all creditors efficiently. He recommended several prominent figures in India’s crypto community, including Sonu Jain (also known as Sonu Bhai) and Aditya Singh (also known as Addy Bhai).

Thanks Surin for suggesting my name.

But sadly they will never pick me 😅

— Aditya Singh (@CryptooAdy) October 4, 2024

In reply, Nischal Shetty pointed out that they have approximately 4.8 million creditors, making it impossible for them to fulfill a singular demand. He added that implementing this approach might postpone the creation of the COC because it would necessitate an additional and distinct selection process.

Nevertheless, Nischal Shetty promised to take this feedback into account when planning future procedures, ensuring a fair approach. Above all, his goal is to establish the Code of Conduct (COC) promptly.

During the town hall, a slide explained that a Committee of Creditors (COC) is essential for providing valuable input in any restructuring process. This committee helps bridge communication between a vast group of creditors, the company, and its consultants, ensuring a free flow of ideas.

Read Also: What Now for WazirX Users? A long wait into the Abyss

Read More

Sorry. No data so far.

2024-10-04 14:28