#ZKJ (Polyhedra) commented on the collapse of tokens by 85%: in short and in bullet points…

• The collapse is related to a coordinated attack on liquidity: major players withdrew millions from the PancakeSwap pool, triggering a mass sell-off.

• Wintermute, a well-known market maker, contributed over 3.39 million ZKJ to exchanges during the collapse, accelerating the price drop from $1.9279 to $0.2939 within 90 minutes.

• Recent changes to Binance Alpha rules reduced farming rewards, weakening the liquidity pool and making it vulnerable to manipulation.

• The collapse triggered a chain reaction of liquidations amounting to $94 million on centralized exchanges, exacerbating the market crash.

• The Polyhedra team allocated $30 million in liquidity to stabilize ZKJ, but it was insufficient to withstand the organized selling pressure.