ZKSync Airdrop Hunter Nets $700K

zkSync, one of the largest zero-knowledge (ZK) layer-2s, debuted its ZK token on exchanges today. This led to an abrupt sell-off following concerns regarding user legibility and airdrop farmers.

The layer-2 had deployed multiple anti-Sybil mechanisms to prevent airdrop hunters from reaping all the rewards out of the hands of early users. However, the protocol acknowledged that “some” Sybil groups were let in.

Just recently, Lookonchain reported that one airdrop hunter received around 3.01 million ZK tokens, worth $753K, via 85 wallets. The user then deposited $678K into Binance and sold a portion of the funds for Ethereum (ETH) via SyncSwap.

Someone received an #airdrop of 3.01M $ZK($753K) via 85 wallets!

This airdrop hunter then deposited 2.71M $ZK($678K) into #Binance and sold 300K $ZK for 20 $ETH($69K) via #SyncSwap. pic.twitter.com/x8YUPAspbK

— Lookonchain (@lookonchain) June 17, 2024

zkSync Token Debut Goes South

As CryptoMode reported, zkSync’s token debuted today across major exchanges, such as Binance and ByBit, tanking over 13% in just a few hours of the morning’s trading session.

Updated data from CoinMarketCap shows the coin is facing tremendous selling pressure at press time, with its price currently sitting at $0.2254, a 21.68% decrease.

zkSync token
zkSync daily chart. Source: CoinMarketCap.

One reason for this major plunge is the criticism and backlash that zkSync received over the mechanisms it implemented for carrying out the ZK airdrop.

Several users reported not being eligible for the airdrop or not receiving the rewards despite being early protocol users. Despite the efforts to calm the community through a FAQ document page, the ZK token has not recovered from the backlash.

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