ZKasino Customers Displeased As $33M Promised Reimbursements Rerouted To Lido

ZKasino, an Ethereum-based gambling platform, has incited dissatisfaction among its users by transferring $33 million of connected Ethereum (ETH) to the staking platform Lido, deviating from its initial commitment to repay the funds.

This decision, unveiled via blockchain records, has dismayed more than 10,000 customers who were anticipating the return of their ETH following their involvement in the platform’s activities.

Instead of refunding the deposits as assured, ZKasino introduced an elaborate strategy to swap all linked ETH for its proprietary ZKasino (ZKAS) tokens at a discounted value of $0.055, disbursed gradually over a 15-month period.

The initiative has been met with backlash and allegations within the cryptocurrency community. A user identified as “cygaar” alleged that ZKasino’s blockchain launch was a simplistic Arbitrum Nitro chain set up within a mere two minutes, contradicting its claims of utilizing sophisticated zero-knowledge technology. Some individuals even went as far as divulging personal details and advocating for legal measures against ZKasino’s founder, recognized as “Derivatives Monke” on X (previously known as Twitter).

Despite the contentious rollout, ZKasino, its founder, and its parent entity, Crisscross Labs, have refrained from issuing any public statements. The project has maintained a relatively subdued presence on X, with sporadic updates unrelated to the ongoing dispute. Nevertheless, Derivatives Monke has addressed criticisms and remains dedicated to advancing the project’s initiatives on X, vowing to persist with development endeavors, as reported by Cointelegraph.