zkLend announces closure of operations, remaining $200,000 in treasury funds will be used for user compensation

ChainCatcher news, the Starknet ecosystem project zkLend announced on social media that the project will gradually shut down.

The official statement emphasized that this decision was not made lightly. Over the past few months, the security vulnerabilities encountered by zkLend have severely shaken user confidence, and the recent delisting of the ZEND token from major trading platforms such as Bybit and KuCoin has further restricted the token's liquidity and accessibility. These changes have made it difficult for zkLend to effectively allocate resources to develop new business.

In light of the current situation, zkLend believes that using the remaining $200,000 in treasury funds for a user compensation fund is more responsible and realistic than restarting the money market or continuing development. The team will remain online and will spare no effort in advancing asset recovery efforts.