ZKasino, a decentralized gambling network, is facing notable obstacles amid concerns within the crypto community about a potential lag-pull scenario.
Over the past day, a number of trending posts on X (formerly Twitter) have highlighted a series of challenges plaguing the network.
ZKasino accused of pulling the Ethereum rug out of $32 million
The platform's problems began last month when decentralized P2P order book exchange ZigZag Exchange made various accusations against ZKasino. These include network developers who divert funds intended for project development to personal use.
ZigZag said ZKasino lied about funding and failed to pay numerous developers and contractors working on the platform.
“The initial funds to build ZKasino were stolen from the ZigZag Treasury. ZKasino founders are 3/5 signatories of the ZigZag multisig, so they used the funds to fund their own operations. “The $40 million ecosystem fund they announced is not real and will probably never be paid in real currency,” Zigzag asserted.
Although most of these allegations were kept under the radar, several members of the crypto community have voiced their displeasure with the platform's allegations. Removal A prior promise to return the bridged Ethereum.
Read more: Identifying and investigating risks in DeFi lending protocols
The initial pledge was a huge success in raising funds, as evidenced by on-chain data showing that deposit addresses used for the campaign accumulated over 10,500 ETH, totaling approximately over $32 million. However, ZKasino responded to these intense concerns, describing them as fear, uncertainty, and doubt (FUD).
“The ZKasino network will continue to operate. Delayed due to exchange listing,” the team added.
Meanwhile, in the wake of the drama surrounding the project, the MEXC exchange has already suspended the token listing in an effort to “protect the rights and interests” of users.Similarly Ape terminal Said It was monitoring the situation. However, it has been clarified that if the situation worsens, token sales related to the project will be halted.
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