• Polyhedra has denounced ZKJ’s crash liquidity assaults from $2 to $0.30.
• The ZKJ value decline reached $0.39, with market worth disappearing at $500 million.
• Polyhedra guarantees to purchase again the tokens and forestall future assaults.

The Polyhedra community, the developer behind the interoperability protocol Zkbridge, offers particulars concerning the sudden value collapse of ZKJ tokens. The corporate factors to a focused “liquidity assault,” forcing liquidation as the primary issue behind the crash. On the occasion, ZKJ costs fell from $2 to below $0.30 inside hours.

In an official assertion, Polyhedra co-founder Tiancheng Xie defined that liquidity assaults on the tuned chain brought on the crash. The corporate’s report claimed that these occasions had been coordinated by malicious actors.

Polyhedra’s report famous that these occasions weren’t unintentional, however as an alternative had been organized by malicious actors with the intention of destabilizing the worth of the token.

ZKJ Crush worn out market worth of over $500 million

The sudden decline in ZKJ’s worth worn out roughly $500 million in market capitalization at its peak. The token, which had maintained a steady value of almost $2 since December 2024, had hit a low of $0.4062 by publication.

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Earlier than the crash, ZKJ noticed an enormous volatility, however its value reached an all-time excessive of $3.40 shortly after its launch in March 2024, regularly rising its worth later that 12 months.

Co-founder vows to “flip criticism again into reward.”

Xie expressed confidence within the firm’s potential to get well, referring to earlier incidents during which the group overcomes related challenges. “I do know that everybody is criticizing us now, however we have confronted this earlier than. We have turned our critique into reward final time.

Polyhedra is understood for its Zkbridge know-how, which might improve the pace of zero information in each technology and verification, making it a significant participant within the interoperability house. However the sudden crash is a significant setback for the corporate that not too long ago reached a $1 billion valuation, following a $20 million funding spherical led by PolyChain Capital in March 2024.

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Regardless of the recession, Polyhedra vowed to proceed efforts to stabilize the ZKJ and defend the mission from future assaults.