— by Prashant Marathe | EduInvesting.in | Brutal Breakdown, No Filters

📌 At a Glance:

WazirX isn’t just the punchline of a bad crypto joke — it might’ve killed retail crypto dreams in India. With frozen funds, shady ops, a public feud with Binance, and now a complete washout of trust, WazirX is the ultimate example of how not to run an exchange. For millions of Indians, this wasn’t just a platform collapse. It was the end of believing in crypto.

🎬 Quick Flashback: When WazirX Was “India’s Binance”

• Founded in 2018, WazirX marketed itself as India’s gateway to global crypto.
• In 2019, Binance announced an “acquisition”. Media lapped it up.
• By 2021, WazirX was raking in crores. Bitcoin ka chaska sabko lag gaya.
• The user base? Crossed 10 million at peak.
• The founders? Living large, tweeting like VC kings.
• The Indian middle class? Fully onboard. SBI to Solana, everyone was “hodling”.

Until… 🚨

💣 The Implosion Begins

❄️ 1. 

ED Freezes ₹64.67 Cr

In 2022, India’s Enforcement Directorate froze WazirX’s bank accounts.

• Accused of money laundering, aiding Chinese loan apps, and zero KYC compliance.
• ED called them out for giving “lax responses” and not sharing proper data.
• Users woke up to “Withdrawals Disabled”.
• And like that… the illusion broke.

🔥 2. 

Binance Denies Ownership

• In a move straight from a Bollywood betrayal arc, Binance’s CZ tweets: 👉 “We never completed the acquisition.”
• WazirX says: “Bro yes you did.”
• Binance: “Show me the papers then.”
• Result? Millions of Indian investors are stuck on a platform nobody owns.

🫠 3. 

The App Became a Zombie

• Trading volumes collapsed over 98%.
• INR deposits were disabled.
• New users? Ha, who are we kidding.
• Founders? Now promoting crypto content, not crypto platforms.

🤕 What Indian Retail Investors Lost

👨‍⚖️ Why Regulators Went Full “Big Brother”

Thanks to WazirX and friends:

• RBI tightened screws: Banks stopped supporting exchanges.
• TDS on Crypto: 1% per trade — an operational nightmare.
• No GST Clarity, No Deductible Losses, Taxed like a crime.
• All because WazirX made crypto look like the new Sahara scam.

📉 Data Dump: Crypto in India Before vs After WazirX Meltdown

🧠 EduInvesting Take: WazirX Didn’t Just Fail. It Betrayed.

• This wasn’t a tech failure. It was a trust failure.
• WazirX knew what they were doing. Grew big, got sloppy, passed the blame.
• And now? Retail Indians are crypto-orphaned. No INR ramp. No faith. No exit.

It’s not just about WazirX anymore. It’s about what it represents — the death of crypto dreams in the country that gave the world the zero.

🤡 Funniest Ironies

• Their domain is still live. You can’t trade. But the “About Us” still says “India’s Most Trusted Exchange”.
• Binance, the global kingpin, acting like they don’t know these guys. Kya acting hai bhai.
• Indian influencers still shilling coins on Instagram… while real investors can’t even withdraw INR.

🔮 What Happens Now?

1. 

Crypto goes underground.

Just like torrenting movies, Indians will turn to VPNs and grey markets.

2. 

Decentralized platforms rise

But without INR ramps, even DEXs can’t help retail.

3. 

Government goes full sceptic

SEBI + RBI = No chill.

4. 

New players will try, but trust is gone

Any new “Indian crypto startup” will get laughed out of the room.

🪦 Final Verdict:

WazirX didn’t just kill itself. It murdered the Indian crypto narrative.

And the sad part?

They walked away with their reputation semi-intact, while you were left staring at a frozen screen that said:

🛑 “INR Withdrawals Temporarily Suspended”

🏷️ Tags:

crypto, wazirx scam, ed probe, binance india, crypto ban india, TDS on crypto, INR off-ramp, retail loss, Indian crypto exchanges, WazirX vs Binance, EduInvesting