After cooperating with the investigators by giving them all the necessary information and documentation regarding the alleged accused companies that were alleged to have used the WazirX platform, a cryptocurrency exchange by the name of WazirX declared in September that the Enforcement Directorate (ED) had authorised it to use its bank accounts.
In a statement, the business claimed that “ED has unfrozen the bank accounts of WazirX” as a result of the active cooperation provided by WazirX and active anti-money laundering (AML) checks that resulted in the banning of suspect accounts.
WazirX, a crypto exchange, stated:
“WazirX is now in a position to continue its banking operations as usual.”
ED investigators searched Zanmai Lab, the parent firm of WazirX, last month. It searched the premises and froze 64.67 crore rupees in bank assets.
The ED has been looking into 16 fintech businesses and instant loan applications, some of which just so happen to use the WazirX platform. The company made it plain that it has no connections to any of the purported instant lending apps or fintech firms that appear to be the subject of an ED inquiry, but yet conducts KYC/AML checks even though it is not required to.
After conducting a thorough internal investigation, WazirX discovered that the majority of the users whose information was requested by ED had already been flagged as suspicious by the company and blocked in 2020 and 2021. “WazirX is like any other intermediary whose platform may have been misused,” the company claimed. The largest crypto exchange in India, WazirX, has more than 12 million members. The ED is keeping an eye on several cryptocurrency exchanges for their potential participation in the laundering of almost $10 billion.