Changpeng Zhao, the CEO of the world’s largest cryptocurrency exchange Binance, made a shocking disclosure late Thursday, denying his company any stake in the Indian cryptocurrency trading platform WazirX. He also pointed out that in 2019 Binance had announced the acquisition of WazirX, but the transaction was never completed.
After this statement of Chanpeng Jaho, today i.e. on Friday 6th August, there was an altercation between him and WazirX founder Nischal Shetty on Twitter. Let us tell you that WazirX is the largest cryptocurrency exchange in India. About 50 percent of the trading of cryptocurrencies in the country is done through this platform.
Nischal Shetty, in his tweet, dismissed Chanpeng Jaho’s statement and insisted that the ownership of WazirX remains with Binance. Replying to Shetty’s tweet, Chanpeng Jaho wrote,”We are sorry that this is causing a debate on Twitter. Binance provides wallet services to WazirX. The WazirX domain has been transferred to our control. We Shared access to an AWS account was given. We can turn off WazirX, but we won’t because…”
Binance CEO further added, “… because it will harm users. As before, Binance has no control over any of the operations like user sign-up, KYC, start trading and withdrawal. All this. Control is controlled by the founding team of WazirX. Despite requests from us, their control was never transferred to us.
The deal never materialised. No share transfer took place.” According to Chanpeng Zaho, the founding team of WazirX had control of the operation of the platform, whereas Binance was never given any data or control of users, KYC etc. “We at WazirX would love to work with the ED to resolve these issues,” he added.
Nischal Shetty’s answer
Responding to Jaho’s statement, WazirX Founder Nischal Shetty said,”Happy to resolve this issue in public so that everyone is aware of it. Transparency is a good thing. In this tweet you are saying that you sign -Up and want control over KYC. But this work is done by Zanmai India which is licensed by Binance.
So would you like to complete this deal by acquiring Zanmai India? Ready? Let’s finish it then.” Responding to multiple tweets by Chanpeng Jaho, Nischchal Shetty said,”You wrote that you can shut down WazirX. This proves that you have control over it.” He said,”No shared access to AWS, you have root access to AWS.”
Nischal Shetty said, “All user assets – cryptocurrencies and deposits Indian Rupees are safe on WazirX. WazirX has always ensured KYC, AML policies are in place. We only allow bank transfers so that all transactions are traceable. WazirX to Binance transfers are always recorded in our database and only between users’ own accounts.”