ZK Token Plummets After $5 Million Airdrop Exploit

ZKsync has confirmed a major security breach that resulted in the theft of approximately $5 million worth of ZK tokens from its airdrop contract. The exploit, which impacted only unclaimed tokens, was caused by a compromised administrator account according to the team’s statement on X (formerly Twitter). An investigation into the incident is underway with a detailed report promised soon. 15-20% sell-offs occurred in the ZK token price following the breach around 13:50 UTC. As of press time, the ZK token has experienced a decline of about 11% on the day, according to CoinMarketCap.