- ZKasino, a blockchain-based betting project, has announced a 72-hour process to refund investors after being accused of a $33 million “rug pull.”
- The project has initiated a two-step bridge return process, allowing users to reclaim their ETH on a 1:1 basis.
- “The ZKasino team is still working hard to make the project successful. We want to reassure everyone that we are here to offer and maintain our best efforts,” stated the team in a Medium post.
ZKasino initiates a 72-hour refund process following allegations of a $33 million rug pull, aiming to regain investor trust.
Fraud Allegations Continue to Haunt ZKasino
The refund process requires users to return their entire ZKAS balance from the original address they sent their Ether from. However, ZKasino mentioned that investors who reclaim their ETH would lose their allocated ZKAS and the remaining 14-month ZKAS distribution.
Investor Concerns and Skepticism
While some users questioned the 72-hour timeframe, others expressed concerns about the legitimacy of the registration page. The Medium post was shared by ZKasino founder, known as “Derivative Monke,” rather than the official ZKasino X account.
Previous Controversies and Criticisms
Last month, ZKasino faced criticism for failing to return investor ETH after launching its network. Instead, the platform sent $33 million worth of investor and user funds to Lido for staking. At that time, ZKasino claimed to have made changes to their initial plan, converting all bridged ETH into ZKAS at a “discounted rate of $0.055” with a 15-month vesting period.
Conclusion
Despite the refund initiative, many still accuse the platform of fraud. Dutch authorities arrested a suspect linked to the rug pull on April 29, and a few days later, Derivative Monke denied the allegations on X, leading to the return of approximately two-thirds of the stolen funds to ZKasino’s multi-signature wallet.
