Binance Appeases ZKsync Community with Token Listing and Distribution Program

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As a long-term crypto investor with a keen interest in decentralized projects and community governance, I’m glad to see Binance taking steps to address the concerns surrounding the ZKsync (ZK) token launch. The backlash from the community was palpable, and it’s essential for exchanges like Binance to listen and respond accordingly.

Binance has taken action to address the criticism that surfaced following the announcement of the ZKsync (ZK) token and airdrop last week. The community reacted strongly, voicing their concerns. In response, Binance has listed ZK on its platform and introduced a separate token distribution program, aiming to repair any potential damage.

ZK Goes Live on Binance as Token Distribution Program Seeks to Reward Active Users

Beginning at 8 a.m. UTC on June 17, Binance will introduce ZK trading pairs, enabling users to transact the token using Bitcoin (BTC), Tether (USDT), FDUSD, and Turkish Lira (TRY). Deposits of ZK are currently permitted for trade preparation. However, withdrawal functionality will only be accessible following a day after the token becomes available on the platform. Importantly, this listing coincides with the commencement of the ZKsync airdrop claims, set to initiate an hour afterward.

Simultaneously, Binance, as previously stated, could have responded to critics’ demands. The cryptocurrency exchange intends to distribute approximately 10.5 million ZK tokens through a distinct program, targeting around 52,500 users. Yet, this token airdrop comes with conditions:

To use the platform on ZKsync Era, users are required to meet certain conditions. They need to have completed a minimum of 50 transactions during the specified time frame from February 2023 to March 2024. These transactions should be distributed across no fewer than seven distinct months within this period. Additionally, it is important to note that users have not taken part in the official ZK Nation airdrop program for receiving ZK tokens.

As a token analyst, I’d interpret Binance’s announcement as follows: I will be eligible for ZK tokens if I meet the three specified conditions. These requirements are not negotiable and will be applied on a first-come, first-served basis. The initial distribution of these tokens is set to commence on June 25th.

Community Upset Over Potential Sybil Attacks in ZKsync Airdrop

The ZKsync Association’s announcement of their initial airdrop caused a heated response on social media. Some critics, such as Mudit Gupta, the security chief at Polygon, voiced concerns that the program did not include sufficient safeguards against Sybil attacks. These attacks occur when individuals create multiple fake accounts to artificially inflate their airdrop rewards.

As an analyst, I recognize that the ZKsync team initially held firm to their approach despite community concerns. However, they eventually acknowledged these valid concerns. In response, Binance proposed a different distribution program, which takes into account actual network activity. This alternative solution could benefit active users who felt overlooked in the original approach.

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2024-06-17 11:19