A crypto influencer claimed that WazirX’s backed firm misused the company’s revenue for marketing purposes, raising serious questions about leadership and financial management.
On 11 Sep 2024, popular Indian crypto influencer Aditya Singh took to X (formerly Twitter) and presented evidence against WazirX’s financial records. Singh noted that WazirX leadership generated $108 million in 2022 and spent 70% of these funds solely on marketing, which is concerning for any type of business.
Wazirx's Zettai made revenue of $108 Million in 2022 & spent $79 Million (70%) on Sales & Marketing. pic.twitter.com/V8Ki1UxH2Z
— Aditya Singh (@CryptooAdy) September 11, 2024
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In response, Crypto X user Sandeep Jaswal, who is likely affiliated with WazirX, clarified the situation. Jaswal explained that $79 million was actually spent by Binance crypto exchange on marketing, not by WazirX.
He further detailed that until the financial year 21-22, Binance Exchange was handling these expenses and sharing profits. After August 2022, Zattie PTE took control over Binance following a controversy over the actual control of the exchange. Thus, while WazirX CEO Nischal Shetty is technically responsible for the funds, the expenses were managed by Binance.
Jaswal also provided a screenshot of an affidavit as proof that Nischal Shetty was not responsible for the $70 million in question.
55% Fund Refund or Legal Action
Yesterday, a Crypto X account dedicated to representing WazirX customers affected by the hack incident shared a screenshot of an FAQ in which the “WazirX is indirectly scaring users that if they want the 55%, they should avoid taking legal action”
WazirX token price action
The current trade price of WazirX Token, the native token of the WazirX exchange, is $0.127 & this price is 44% down YTD.
WazirX Under Scrutiny: Alleged 70% Revenue Spent on Marketing, Leadership Dismisses Claims
https://bitcoinik.com/wazirx-under-scrutiny-alleged-70-revenue-spent-on-marketing-leadership-dismisses-claims/feed/
https://bitcoinik.com/wazirx-under-scrutiny-alleged-70-revenue-spent-on-marketing-leadership-dismisses-claims/feed/
