ZKasino misappropriated client funds to open leverage, closing positions this morning and making a refreshing profit of $2.37 million

The Web3 gaming platform ZKasino, which had previously promised a refund, misappropriated user funds and deposited all 10535 ETH that should have belonged to the user into Aave as margin. They also lent a total of 53.91 million DAIs and bought 15645 ETH, using leverage to long ETH.

According to data monitored by on chain analyst Yu Jin, the ZKasino project has closed its position and taken profits this morning, earning a total of 651.5 ETH ($2.37 million). Subsequently, the project party dispersed and transferred a total of 11186.5 ETH (approximately 40.75 million US dollars) belonging to the user and the income obtained to 9 addresses, but it seems that they still do not intend to repay.

According to a previous report by Zombie, the Web3 gaming platform ZKasino launched a staking coin earning activity, promising to earn ZKAS token rewards for all users staking Ethereum across chains. The activity attracted 10515 ETH (approximately 35.17 million US dollars) to participate. However, after the expiration of the event, ZKasino forcibly changed the rules and exchanged all the assets pledged by users for ZKAS tokens at a discount, and the lock up period lasted for more than 15 months, directly causing users who originally only participated in "staking to earn airdrops" to become "IDO subscribers".

Despite the backlash from the community afterwards, ZKasino officially promised to refund Ethereum 1:1, but it has been several months since the incident and the authorities have never intended to fulfill their promise.