The seizure of the bank account of WazirX, one of India's most well-known cryptocurrency trading platforms, by the Enforcement Directorate (ED), as previously reported by Blockchain.News, has raised fresh concerns regarding the trading platform's ownership.
Binance's CEO, Changpeng Zhao, and WazirX's founder, Nischal Shetty, have both distanced themselves from the troubled trading platform, as it appears the authorities are on the case.
The feud began when Nischal posted on Twitter about Binance Exchange owning the trading platform and Zanmai Labs, the firm that he and his team manage and operates the Indian Rupee/crypto trading pairs on the platform under a Binance license. According to Nischal's explanation, the Binance exchange manages the crypto-crypto trading pairings on the WazirX platform.
Changpeng Zhao disputed with Nischal in part, pointing out that while Binance Exchange purchased WazirX, the larger exchange solely owns the exchange's Amazon Web Services (AWS) login information and offers wallet services. According to CZ, as he is well known, the “WazirX founding team maintained control of the platform's operations.” We (Binance) were never given data or control over users, KYC, or anything else.
The fight between the two crypto leaders lasted all weekend, as industry onlookers questioned the veracity of both veterans' statements. In reality, the party participating in the exchange's day-to-day activities will be most accountable to the ED in the current investigations.
While Nischal stated that WazirX is cooperating with authorities to resolve allegations concerning the exchange's money laundering activities for Chinese loan apps, CZ has also reaffirmed his willingness to assist the trading platform in overcoming its difficulties with the authorities and putting the entire situation behind it.
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