ZKasino Launches ETH Refund Process, but Doubts Remain

The decentralized betting platform ZKasino recently announced that it will launch an ETH bridge refund process for users who choose not to participate in the ZKAS token conversion. Previously, the platform attracted approximately 10,515 ETH through a bridging rewards campaign, valued at around 33.2 million USD.

ZKasino completed its Series A financing in March this year with a valuation of $350 million, attracting investments from multiple institutions. However, just a month later, some investors claimed they had never invested in the project. In mid-April, after ZKasino ended its bridging reward program, users found themselves unable to withdraw funds, leading to community skepticism.

Rumors of fraud regarding the project continue to circulate in the community. A certain DEX posted on social media claiming that multiple people accused the ZKasino team of owing funds or being involved in fraud. The co-founder of Ethereum also pointed out that ZKasino does not use any zero-knowledge proof technology and is merely hosted on the zksync platform.

In early May, the Dutch Financial Information and Investigation Service arrested a 26-year-old man, accusing him of being involved in a large-scale scam of ZKasino. Victims worldwide invested over $30 million in cryptocurrency on the platform. Authorities seized a large amount of cryptocurrency, real estate, and luxury cars.

In this context, ZKasino announced the launch of a two-step bridging process, promising a 1:1 return of ETH to users who do not participate in the ZKAS conversion. However, the community still has concerns about this:

1. Registration time is only 72 hours and only on working days, which may affect some users' participation.

2. Users need to register using the original ETH bridge deposit address and return ZKAS to the specified smart contract.

3. ZKasino did not mention the staking rewards generated from user deposits, expected to exceed $100,000.

4. The refund process lacks a clear timeline, with no specific time commitments for stages such as data collection, verification, and the final ETH refund.

Despite ZKasino claiming to operate legally and promising to return funds, many unresolved mysteries still leave investors with doubts. The crypto community is closely monitoring the situation, hoping that ZKasino can fulfill its promises while also staying alert to potential further complications.