Wazir-X Hack Fallout

A significant hack at Wazir-X, an Indian crypto exchange, led to the theft of over 1800 crore rupees worth of assets, which represents about 45% of the exchange's total assets. In response, Wazir-X has suspended all withdrawals temporarily to safeguard user funds, but they have proposed a controversial solution to distribute losses among all users, regardless of their individual exposure to the hack. Users can choose between two options: either continue trading with a high priority for any recovered assets or withdraw 55% of their funds with a portion locked as stable coin equivalents. This situation raises questions about the security of crypto exchanges in comparison to traditional stock brokers, highlighting the inherent risks associated with hot wallets that can be compromised.