According to Techub News, in response to ZachXBT’s question about “why ZKX raised $7.6 million in funding and just started TGE a few weeks ago, but suddenly announced its suspension”, ZKX founder Eduard responded: “The previous $7.6 million in financing was raised from 2021 to 2024 to support a team of 30 people to build a dedicated blockchain for expanding perpetual products. For a total of 4 years, the funds were used for various expenses, including multiple code audits with Nethermind, TGE listing costs, fees on AWS, developer activities for Cairo programming, etc. All user funds have been refunded, and more than 80% of users have withdrawn from the protocol. The core founders did not sell any of the allocated tokens.”

Techub News previously reported that derivatives trading protocol ZKX announced the suspension of operations and reminded users to withdraw funds before the end of August.