In a major development for India’s crypto space, the Madras High Court has ruled that cryptocurrencies are legally recognized as “property.” This ruling came in a case involving crypto exchange WazirX and a user who lost funds during a 2024 security breach, which saw $235 million in digital assets stolen.
The court ordered WazirX to post a guarantee of approximately $11,800 (₹9.8 lakh) to cover a user’s lost XRP tokens. This legal move sets a powerful precedent, acknowledging digital currencies like XRP as property that can be owned, claimed, and protected under the law.
WazirX’s Role and the 2024 Crypto Hack
The issue stems from a massive hack that hit WazirX earlier in 2024. A user filed a complaint after losing a significant amount of XRP during the breach. While WazirX has been working on improving its security since the incident, the user demanded accountability and compensation for the loss.
By ordering the exchange to post a financial guarantee, the court has taken a strong step in recognizing crypto holders’ rights — essentially treating their digital assets like any other form of personal property under Indian law.
JUST IN: India’s Madras High Court ruled crypto is “property” as it ordered WazirX to post an $11.8K guarantee over a user’s XRP lost in the 2024 $235M hack.
Why This Ruling Matters for Indian Crypto Users
This decision is likely to influence how digital assets are treated in future legal and regulatory frameworks in India. For crypto investors, it means better legal protection and potentially more confidence in the system.
Experts believe this ruling could open the door to more structured regulations around crypto exchanges and digital asset custody in India. Recognizing crypto as “property” is a foundational step for taxation, recovery of lost funds, and legal ownership rights.
This is a crucial moment not just for the affected user or WazirX, but for the entire Indian crypto ecosystem — a clear message that the legal system is beginning to take digital asset ownership seriously.