Co-founder Ashish Singhal told businessline that the purpose of the ₹600 crore recovery scheme that CoinSwitch, a major cryptocurrency exchange, is implementing for consumers who were affected by the WazirX attack is to restore the faith of Indian users in the cryptocurrency market, which had “gone sideways” when the theft was announced in the previous year.
In his speech, he discusses the protections that the exchange has implemented to avoid hacking of user assets, the budget expectations of cryptocurrency participants, and the inflows from Bitcoin exchange-traded funds (ETFs).
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The purpose of this endeavor is to restore faith in the cryptocurrency ecosystem, which has been somewhat thrown off track after the WazirX event.
Regarding India, I believe that there are two things that need to take place.
To begin, the platform itself must be treated with the greatest care when it comes to cybersecurity.
We at CoinSwitch collaborate with custody providers that are of industry-grade, which means they are accredited to SOC Type 2 and are recognized all over the world.
These providers have billions of dollars in their asset pool. The security described here is what those individuals bring to the table in order to assist any exchange in managing their security.
In addition, the use of a custody provider is not the end of the security aspect. Because security is a topic that is always growing, you are required to work on a consistent basis at the organization itself.
The second component of it, in my opinion, is the rules.
How can rules make it possible for such instances to be reduced in the first place, and then, in the event that they do occur, what are the laws that govern the situation, or what are the possibilities that users have to recover their money, or what are the many methods that they may get them?