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ZKasino launches ETH refund program; community skepticism remains.
ZKasino announces the launch of the ETH refund process, the community still has doubts about it.
The decentralized betting platform ZKasino recently announced that it will initiate the ETH refund process for bridge participants who do not participate in the ZKAS token conversion. Previously, the platform attracted approximately $33.2 million (10,515 ETH) in funds through its bridging reward activity.
ZKasino completed its Series A financing with a valuation of $350 million in March this year, but subsequently fell into a series of controversies. Some investors denied participating in the investment, users found they were unable to withdraw funds, and others accused the project team of defaulting on payments and salaries. Ethereum co-founder Vitalik Buterin also pointed out that ZKasino had not actually applied any zero-knowledge proof technology.
In early May, Dutch authorities arrested a 26-year-old man on charges of fraud, embezzlement, and money laundering, stating that he was connected to the ZKasino scam. Authorities seized over $12.2 million worth of cryptocurrency, real estate, and luxury cars.
After these events, ZKasino announced the launch of a two-step bridging process, promising to return ETH to those bridge users who do not participate in the ZKAS conversion at a 1:1 ratio. However, this announcement still raised many concerns within the community:
The registration time is only 72 hours, and all of it falls on weekdays, which may cause many users to miss the opportunity.
Users need to use the original ETH bridge deposit address for registration and return ZKAS to the smart contract, the process is relatively complex.
The platform seems to have not mentioned the staking rewards generated from user deposits, expected to exceed $100,000.
The announcement did not specify a concrete refund timetable, only vaguely indicating "as soon as possible" and "in the coming days."
Despite ZKasino stating that it will continue to strive for the success of the project, legal issues, investor skepticism, and ambiguities in the refund announcement still leave many questions unresolved. The crypto community is closely monitoring the developments, hoping that ZKasino can fulfill its promises while also being wary of potential further complications.