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Following the arrest of an alleged ZKasino founder last week, millions in previously bridged staked Ether were returned to the team's original multi-signature wallet.
On May 9, Etherscan The data showed that the ZKasino team's wallet contained around 10,531 Ether (stETH) staked on Lido worth about $31.4 million at current market prices. Previously, funds were transferred to private wallets allegedly controlled by at least one founder of the project after users noticed withdrawals were disabled.
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As crypto.news reported, Binance helped authorities trace the funds. Help from the cryptocurrency exchange helped the Dutch Tax Investigation and Information Service (FIOD) make an arrest late last month.
An unnamed suspect was detained and FIOD agents seized assets, including a $12 million luxury car. Despite the arrest, ZKasino funds continued to move up the chain and fueled theories that several people were involved in what many have called an exit scam, commonly known as a cryptocurrency theft.
ZKasino denies Binance “FUD”
After the news broke and funds mysteriously returned to ZKasino's multi-signature wallet, a pseudonymous developer associated with the project refuted the claims by Binance and the broader crypto community. The personality who operates under the moniker “Derivatives Monke” on x, explicitly stated that the claims were “false and harmful to the ZKasino brand.”
We would like to assure everyone that we will continue with our best efforts as we have done for the last 3 years and will continue to make the project successful.
Derivtines Monke refutes Binance claims
The statement received strong backlash from users and observers who said the cryptocurrency betting platform had broken the trust of its more than 10,000 users. On-chain analytics provider x.com/nansen_ai/status/1788609834192863413″ target=”_blank” rel=””>Nansen He also questioned Derivatives Monke about why the assets were moved during the Eigenlayer airdrop saga and then returned after an arrest in the Netherlands.
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