Binance launched at the end of 2019a blogThe acquisition of WazirX was announced in the article, and the article is accompanied by photos of Changpeng Zhao and the founder of WazirX, which shows that both parties are very enthusiastic about making this transaction happen.
The acquisition of WazirX delivers on our commitment to the people of India to strengthen the local blockchain ecosystem and is a major step forward in enabling the circulation of digital assets.
In addition WazirX is inAnother blog postChina reported that it was “successfully acquired by Binance,” while Changpeng Zhao shared a news report on the matter in a tweet last year.
In a series of tweets on Friday, however, Binance suddenly reversed its stance, claiming that the company “does not hold any equity in Zanmai Labs” (the entity established by the founder and operator of WazirX).
The article reads — On November 21, 2019, Binance published a blog post claiming that it had “acquired” WazirX, but the reality was that the deal never closed.
He pointed out – Binance has never owned any stake in the entity that operates WazirX (Zanmai Labs) at any time.
As a technical solution, Binance only provides wallet services and uses off-chain integrations for WazirX to help it save on network fees.
All other business aspects of the exchange — including user registration, KYC, initiating transactions, and withdrawals — are still left to WazirX to handle itself.
Foreign media mentioned that Indian law enforcement agencies had previously frozen WazirX’s assets worth more than $8 million on the grounds of suspected violations of foreign exchange management regulations. Zhao added:
Recent allegations about WazirX’s operations and how Zanmai Labs manages the platform have drawn a lot of attention from Binance.
Binance cooperates with law enforcement agencies around the world and is happy to cooperate with the ED in any way possible.
However, India’s anti-money laundering agency mentioned in Friday’s order that Binance rarely responds to legal compliance inquiries sent to official email addresses.
WazirX, one of the leading cryptocurrency exchanges in India by trading volume, said at the end of 2021 that its trading volume had surpassed $43 billion, up 1,735% from 2020.
At the same time, the platform also provides technical support to several other Indian exchanges. But WazirX did not immediately respond to a request for comment late Friday.
[Update] In a series of tweets, WazirX co-founder Nischal Shetty disputed Binance’s claims by Changpeng Zhao, claiming that the company did acquire WazirX.