The operators of the Zipcoin Ethereum token are liquidating all project-related wallets and exiting the market after a total compromise of their infrastructure. The team is selling its 2.2% stake in the token supply at 12:00 EST today, providing existing holders a six hour window to sell before the liquidation. The price of the $ZC token fell 84.2% over 24 hours on CoinGecko after the team announced an attacker had gained access to all private keys and secrets.
This closure follows a breach on October 15 when a hacker drained 1.1% of the supply from several tokens including $ZC, $pepecoin, and $PAAL during the @UNCX_token incident. Zipcoin officials said they initially purchased tokens on the open market to replace lost team commitments without alerting the public. After Railway alerted the team to the subsequent total codebase compromise, Zipcoin spent 12 hours attempting to rotate credentials before determining that operations were unviable.
