Embattled crypto gambling platform ZKasino has begun returning a portion of investor funds after a $33 million scam that stranded thousands of users.

The repayments, comprising approximately 35% of withdrawal requests, come nearly six months after Dutch officials detained a suspect tied to the platform’s alleged rug pull, representing a tentative step toward restitution for affected clients.

ZKasino Founder Breaks Silence

The project’s anonymous founder, Derivatives Monke, shared an update on X on November 10, indicating that around 35% of withdrawal requests have been fulfilled, covering about 2,500 of the 8,000 impacted addresses. They noted that the refunds are intricate due to numerous parties involved, and the amounts returned may not be final, with potential interest adjustments still pending.

A second wave of repayments is anticipated next week, possibly elevating the total refunds to 75% of affected users. The founder also indicated that KYC and other procedures will apply to larger withdrawals for legal purposes.

In early 2024, under the campaign labeled “bridge-to-earn,” ZKasino permitted customers to deposit Ethereum (ETH) before its launch, with over 10,000 users transferring 10,515 ETH, approximately $33 million then. Investors were allegedly promised that they could earn interest and withdraw their principal at any time.

However, blockchain data reveals the platform instead converted deposits into vested ZKAS tokens and staked the ETH on Lido, essentially locking customer funds without their consent. The team subsequently went silent for more than a year, inviting accusations of a rug pull.

Community Reactions

The crypto X community responded rapidly to the announcement, with a range of reactions from joy to skepticism. Users who lost small amounts of ETH confirmed receipt of their refunds, while larger depositors remained anxious about when they would be compensated.

Others expressed surprise at the development, considering the team’s long silence. “Zkasino refunding me was not on my 2025 bingo card,” wrote user alvarzz.

Still, some community members called for full transparency, seeking audited proof of remaining funds, clear timelines, and independent oversight. Veteran trader Eric Cryptoman questioned the likelihood of private sale investors recovering their ETH, noting the project retained $25 million. While he did not anticipate a refund, he acknowledged the team’s ongoing activity and their behavior as if nothing transpired.