Ethereum Layer 2 Network ZKsync’s Native Token ZK Experiences Significant Drop
The native token ZK of the Ethereum layer 2 network ZKsync experienced an abnormal decline on Tuesday evening, with the drop exceeding 17% at one point, triggering panic within the community.
Shortly after the sharp decline of ZK, ZKsync admitted on the social platform X that its security team had discovered an administrator account had been compromised. This account controls ZK tokens worth approximately $5 million, which are the unclaimed remaining tokens from an airdrop event. The team has since taken the necessary security measures.
ZKsync further explained that this incident was caused by a private key leak, affecting only the ZK token airdrop contract. The team stated, “All users’ funds are secure and have never been at risk. The ZKsync protocol and ZK token contract remain safe, and no other ZK tokens are at risk.” An investigation is currently underway, and more details will be announced later today.
As the ZKsync team released their announcement, the ZK token saw a slight recovery from $0.04 to $0.044.
According to cybersecurity firm Cyvers, the hackers who attacked ZKsync have begun to exchange the stolen ZK tokens for Ether (ETH) and bridge them to Ethereum, with 10 ETH deposited into a HitBTC address.
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