ZKSync Admin Wallet Breached, $5 Million Stolen

A significant security breach at ZKSync led to the theft of $5 million worth of ZK tokens, causing the token’s value to plummet by nearly 14%.

What to know:

• ZKSync confirmed that on Tuesday, a breach occurred affecting an admin wallet.
• The hacker successfully appropriated $5 million in ZK tokens.
• Following the incident, the value of the ZK token has fallen by nearly 14% over the last day.

In detail, a compromised admin wallet for the layer-2 blockchain ZKSync resulted in a loss of $5 million in ZK tokens. According to ZKSync, the stolen funds were part of the remaining unclaimed tokens from their airdrop. They assured that necessary security precautions are being implemented.

Furthermore, the ZK token’s value has seen a decline of approximately 14% within a 24-hour window, with trading volume skyrocketing by 96% to $71 million during this period.

ZKSync has indicated that this attack was a standalone event, limited to the airdrop contract of the token.