16.06.2025 11:18

The Polyhedra Network (ZKJ) token experienced a dramatic 83% price plummet on Sunday, June 15th, following a flurry of unusual on-chain transactions involving the ZKJ/KOGE trading pair. This significant market crash, resulting in a near-$500 million loss in market capitalization within a mere two hours according to some trackers, was attributed by Binance to a sudden liquidity crisis stemming from large token holders withdrawing their assets. The resulting liquidation cascade rapidly destabilized the market.

Observations from various sources suggest a possible correlation between the price collapse and a recent token unlock event. Speculation about potential foul play by Polyhedra has surfaced online; however, no major crypto analytics firms have yet substantiated these allegations. Cointelegraph's attempts to obtain a statement from Polyhedra remained unanswered at the time of writing.

Initially, the ZKJ token, which serves as both a utility and governance token for the Polyhedra Network, experienced a sharp 60% drop within a 90-minute period, plummeting from $1.92 to $0.76. A brief, temporary recovery to $1.41 followed, only to be succeeded by a further, sustained decline over the subsequent six hours. A second, significant fall occurred later that day, reducing the token's price from $0.77 to $0.32, where it has since stabilized. These price fluctuations are clearly illustrated by data from CoinGecko.

Polyhedra, a project focused on blockchain interoperability utilizing zero-knowledge proofs, acknowledged the situation and is undertaking a thorough review. While promising further updates as they become available, the company assures users that the underlying network remains fundamentally sound. The investigation aims to provide a complete understanding of the events leading to the dramatic price swings and resulting market losses.