WRX Suffers 60% Decline After Binance Delisting, Undermining Hopes for a ‘New Era’

Binance’s decision to delist the WRX token from WazirX has triggered a sharp downturn in its value, highlighting the impact of such actions on the market sentiment. Following Binance’s announcement on Wednesday that it was removing WRX, alongside Kaon (AKRO) and Bluzelle (BLZ), as part of a routine review of tokens, WRX plummeted by 60% in just one hour.

The delisting of a token from a major exchange often signals a lack of faith in its future prospects, leading to widespread market sell-offs. While AKRO and BLZ also saw price drops of up to 40%, WRX experienced the most significant hit, with its price falling to just 10 cents, down 98% from its 2021 high of over $5.

This delisting marks another blow for WazirX, which was once India’s largest and most popular cryptocurrency exchange. The exchange has struggled to recover from a $230 million hack in July, which wiped out more than 45% of its user assets. Since then, WazirX has filed for restructuring in Singapore to address its financial liabilities. The hacker had used Tornado Cash to launder the stolen funds, further complicating the platform’s recovery efforts.

Despite these setbacks, WazirX is working on a comeback. In a recent post, the company expressed its intention to relaunch its operations, focusing on a new decentralized exchange (DEX) with enhanced features to improve user experience and rebuild its brand.

“We are gearing up for a fresh start, with a focus on recovery and better services for our creditors,” WazirX stated. “Pending legal and regulatory approvals, we plan to reopen the platform and launch a decentralized exchange (DEX) that will offer innovative features to enhance the user experience.”

In addition, WazirX has proposed the creation of Recovery Tokens (RTs) to compensate users affected by the hack. These tokens will be distributed to creditors based on their balances on the platform and will provide future recovery through platform profits, potential buybacks, and open market trading.