The ZKJ token suffered an abrupt 83.88% value collapse following the unexpected removal of over $100 million in liquidity from its KOGE-ZKJ trading pair on Binance Alpha.
Polyhedra Network, issuer of ZKJ, confirmed the incident stemmed from abnormal on-chain transactions triggering the liquidity drain. The organization has initiated a comprehensive protocol review to address vulnerabilities and strengthen platform safeguards.
This crash underscores persistent systemic risks within decentralized exchange frameworks, reigniting scrutiny over liquidity model transparency and manipulation risks. Market analysts noted parallels with historic DeFi failures, highlighting governance gaps requiring urgent security upgrades.
Polyhedra Network announced forthcoming enhancements to its liquidity management systems, pledging advanced protective measures to prevent recurrence and restore investor trust in decentralized trading infrastructure.