Welcome to the Protocol, Coindesk’s weekly wrapping of the most important stories in cryptocurrency tech development. I am Margaux Nijkerk, Coindesk’s Tech & Protocol’s reporter.
In this number:
- Polyhedra accuses liquidity attacks for sudden 80% price drop in ZKJ, promise repurchase
- UK Startup Uptalysys debuting server for Blockchains
- Kraken-supported ink foundation for AirDrop Ink-Token, starting with aave-driven liquidity protocol
Network news
Polyhedra accuses liquidity attacks for decrease in token price, releasing repurchase plan: Polyhedra, a crypto protocol, announced a repurchase plan to restore confidence after its token, ZKJ, fell over 80% in minutes. An initial post-Mortem released in Asian morning hours laid various factors that resulted in the collapse, including a suspected coordinated liquidity attack on Pandakewaps ZKJ/Koge-Pool, significant ZKJ deposits from the market-making company Wintermute in centralized exchanges and a cascade of liquidations on CEXS such as CEXS such as Citybit. Data on the chain reveals that several addresses had drained millions from the ZKJ/Cook Pool. A removed about $ 4.3 million in liquidity provider (LP) tokens and dumped 1.57 million ZKJ; Others followed, unloaded close to 1 million zkj each. When the low boil/usdt -pool could not absorb the sales pressure, the activity wasted into the deeper ZKJ/USDT pool that triggered a liquidity spiral, the team claimed. To dampen the bleeding, Polyhedra’s team injected approx. $ 30 million in USDT, USDC and BNB as DEX liquidity. It added that no ZKJ holdings belonging to the team were sold. Polyhedra confirms that it is conducting a full technical study and its upcoming repurchase initiative aims to both equalize the influence of the attack and deter similar future exploitation. – Shaurya Malwa Read more.
UPTALYSYS DEEPS SERVERS TO BLOCKCHAINS: UPTALYSYS, a British-based start-up focusing on secure computing, has introduced what it claims to be the world’s first server for blockchains to process data on scale without decrypting them. The company’s lightlocker node is a server that uses fully gay encryption (FHE), a mathematical technique that allows you to perform calculations on encrypted data without compromising the encryption. Over the past year, a few companies have been raising money and exploring applications of FHE within the cryptocurrency room. UPTALYSYS says its server hardware is custom built for blockchain encryption and offers a cheaper alternative to expensive and ineffective GPU-based systems using 40% less energy. – Ian Allison Read more.
Ink foundation for AirDrop -Token: Ink Foundation, nonprofit behind Layer 2 Ink, launching its native token ink in an attempt to bootstrap in chain capital markets through a liquidity-first strategy. Token debuts on a decentralized funding (DEFI) Lending and Trade Protocol built on Aave, and the distribution begins via a air drop to the early users. There will be no government gimmicks or fluctuating emissions, the foundation says. Ink has a hard cap of 1 billion tokens, which is marked without the use of changing the supply via government proposals. And unlike other Superchain members, Ink says its Layer 2 government remains separated from the token. – Shaurya Malwa Read more.
In other news
- A Securities and Exchange Commission (SEC) Archiving Published Monday night outlines the relationship between Tron Dao, Justin Sun and SRM Entertainment, a Nevada company in the process of changing its name to Tron Inc. The filing describes a $ 100 million private investment in public equity (pipe), paid entirely in TRX tokens, giving Sun’s Father, Weike as Sun, Board Control and Position’s Tron-Aligned Advisors in Key Governance. Weike was appointed chairman, while Zhihong Liu, also known as Steve Liu, a strategic adviser to Tron DAO and CEO of StableCoin Issuer Techteryx, and Zi Yang, a senior manager at Tronscan, joined the Board’s audit, compensation and nomination committee, according to archiving. – Sam Reynolds Read more.
- US bank giant JPMorgan has announced the pilot for a allowed USD -DePositum Doken called JPMD on the base, Layer 2 Ethereum network built by Listed Exchange Coinbase (Coin). Earlier this week, the bank filed a trademark application for a cryptophocused platform named JPMD, designed to offer services such as trade, exchange, transfer and payment services for digital assets and the issuing of digital assets. The institution -focused JPMD, an alternative to stableecoins for the bank’s clients, marks the first implementation of JPMorgan’s Kinexy’s distributed Ledger Technology Studio on a public blockchain, according to a press release. – Ian Allison Read more.
- Iranian Crypto Exchange Nobitex has been hacked for $ 90 million by Israel-bound hacking activist group Gonjeshke Darande, according to a blog post from blockchain security company Elliptic. The group said in an X-post: “After Bank Sepah it was Nobitex’s turn” that referred to their Tuesday Cyberattack on Iran’s state-owned lender. They warned that Nobitex’s internal data and source code would be released within a day, and any assets left on the stock exchange would be “in danger.” – Shaurya Malwa Read more.
Legislative and politics
- The overwhelming Bipartisan passage of the US Senate StableCoin Bill, with a 68-30 last vote, saw a huge increase in Democrats who took up their Republican colleagues on Tuesday, set a new high watermark for cryptopolitan efforts in the United States as the legislation now leads to the representation house. The biggest democratic support for guidance and establishing national innovation for US StableCeCoins from the 2025 (Genius) Act helps to give it momentum as it lands in the second chamber, where domestic legislators can either vote on what written as written or pursue changes that require a final round of the Senate before it can go to President Donald Trump’s desk. – Jesse Hamilton Read more.
Calendar
- June 8-22: Berlin Blockchain Week, Berlin
- 24-26. June: Permitted, Brooklyn
- June 30. July: ETHCC, Cannes
- July 16-18: Web3 Summit, Berlin
- 22-28. September: Korea Blockchain Week, Seoul
- 1-2 October: Token2049, Singapore
- November 17-22: DevConnect, Buenos Aires
- 11-13. December: Solana Breakpoint, Abu Dhabi
- 10-12. February 2026: Consensus, Hong Kong
- 5-7 May 2026: Consensus, Miami
