Verify a decision

{"actor":"system:backfill","investigation_id":"46aa8843-abb2-4782-b752-f13248cc505c","kind":"publish","page_slug":"zinc","published_at":"2026-06-16T12:39:26.918Z","sequence_num":1,"snapshot":{"content_type":"investigation","entity_name":"Zinc","sections":[{"content":"The name 'Zinc' is shared by multiple unrelated crypto projects. This investigation focuses on the three most notable: (1) Zinc Protocol (zinc.co), an Ethereum-based ERC20 advertising token launched circa 2017-2018 by Tel Aviv startup founded by Daniel Trahtemberg, a former IronSource executive. This project appears to have become inactive, with price data last recorded April 19, 2025 and a token value that declined approximately 98.8% from its all-time high of $0.2540. (2) Zinc on Solana — a gamified proof-of-work mining protocol tied to the ZKFG governance token, originally raised under the name ZKLSOL through MetaDAO. This entity generated approximately $3.01 million in revenue in a 30-day period as of June 2026, representing nearly 20% of Solana's total DeFi application revenue on some days, but is currently involved in a governance dispute. (3) Zinc (zinc.is), a Zcash inscription protocol enabling ZRC-20 tokens and NFTs on Zcash. Given the active risk surface and ongoing controversy, the Solana-based Zinc/ZKFG entity receives the bulk of scrutiny in this investigation.","heading":"Entity Overview and Disambiguation","severity":"medium","sources":[{"credibility":2,"name":"CoinLore: ZINC token data — inactive since April 2025","type":"other","url":"https://www.coinlore.com/coin/zinc"},{"credibility":2,"name":"CryptoNews: Leading Solana revenue generator Zinc faces governance battle","type":"news_article","url":"https://cryptonews.net/news/altcoins/33012988/"},{"credibility":3,"name":"Zinc - Zcash Inscription Protocol","type":"official","url":"https://zinc.is/"}]},{"content":"Zinc Protocol was a Tel Aviv-based startup founded by Daniel Trahtemberg (also spelled Trachtemberg in some sources), formerly Head of Mobile Fraud Prevention and Director of the Mobile Data Management Platform at IronSource, one of the largest mobile advertising technology companies. The project aimed to build a blockchain-based advertising protocol allowing users to choose what personal data to share with advertisers and earn ZINC tokens as compensation for viewing ads within mobile applications. The protocol was built on the Orbs platform with an ERC20-compliant token on Ethereum. The ZINC token distribution was 55% for strategic partnerships and reserves, 20% for the team (with 36-month vesting and 12-month lockup), 20% for token sale, and 5% for advisors (18-month vesting, 12-month lockup). The presale period began in 2018. Altshuler Shaham, an Israeli investment house, was reportedly in negotiations to invest several million dollars. The project was positioned as a competitor to Basic Attention Token (BAT), though Trahtemberg emphasized Zinc's approach of working within existing apps rather than replacing browsers.","heading":"Zinc Protocol (Ethereum ERC20 Advertising Token) — Project Background","severity":"medium","sources":[{"credibility":2,"name":"CTech: IronSource Alums' Company Zinc to Launch Digital Coin","type":"news_article","url":"https://www.calcalistech.com/ctech/articles/0,7340,L-3738980,00.html"},{"credibility":2,"name":"Blockonomi: Zinc ICO — Blockchain Advertising Platform","type":"news_article","url":"https://blockonomi.com/zinc-ico/"},{"credibility":2,"name":"CoinCentral: Interview with Zinc CEO Daniel Trachtemberg","type":"news_article","url":"https://coincentral.com/interview-zinc-ceo-daniel-trachtemberg/"},{"credibility":2,"name":"Startup Nation Finder: Zinc Protocol — Israeli Startup","type":"other","url":"https://finder.startupnationcentral.org/company_page/zinc"}]},{"content":"The ZINC ERC20 token reached an all-time high of approximately $0.2540. As of the last available price feed (April 19, 2025), the token was trading at approximately $0.00312, representing a decline of roughly 98.8% from its peak. CoinMarketCap ranked the token at approximately #5267 with negligible trading volume of $30–37 USD per 24 hours on only two active markets. CoinLore notes: 'We have not received price data since Apr 19, 2025. It may have been delisted, abandoned, or paused.' The token has a maximum supply of 22,879,998 to 24,000,000 ZINC. No public post-2019 announcements, product releases, or team updates have been identified via available search results. The zinc.co website returned a connection error as of June 2026, suggesting the domain may no longer be maintained.","heading":"Zinc Protocol (Ethereum) — Token Performance and Dormancy","severity":"high","sources":[{"credibility":2,"name":"CoinLore: ZINC Price, Chart, Market Cap","type":"other","url":"https://www.coinlore.com/coin/zinc"},{"credibility":2,"name":"CoinMarketCap: ZINC price today","type":"other","url":"https://coinmarketcap.com/currencies/zinc/"},{"credibility":2,"name":"Coinbase: ZINC Price, Live Charts, and Marketcap","type":"other","url":"https://www.coinbase.com/price/zinc"}]},{"content":"The Solana-based Zinc entity originated as ZKLSOL, a yield-bearing privacy mixer on Solana that conducted an ICO through MetaDAO, raising approximately $969,000. MetaDAO announced the ZKLSOL ICO would begin October 20, 2025. The project's stated goal was to build zero-knowledge proof-based privacy infrastructure for Solana. After the privacy mixer business failed to gain meaningful traction, the project's anonymous founder pivoted to build Zinc, described as a private proof-of-work mining game funded through the ZKFG treasury. The founder is reported to have issued approximately $500,000 in refunds to investors wishing to exit, with many reportedly exiting at a profit according to crypto commentators. A critical structural issue identified in subsequent governance disputes is that no formal legal documentation captured the pivot: there was no signed addendum or updated operating agreement formally tying Zinc's intellectual property to the original ZKLSOL corporate structure (Turbine Cash DAO LLC). This documentation gap became central to subsequent governance conflicts.","heading":"Zinc on Solana (ZKFG) — Project Origins and Pivot","severity":"high","sources":[{"credibility":2,"name":"LiveBitcoinNews: ZKFG Buyout Battle Escalates as Zinc Moves to Block New MetaDAO Proposal","type":"news_article","url":"https://www.livebitcoinnews.com/zkfg-buyout-battle-escalates-as-zinc-moves-to-block-new-metadao-proposal/"},{"credibility":2,"name":"CryptoBriefing: Zinc opposes MetaDAO's ZKFG 007 buyout proposal at $0.15","type":"news_article","url":"https://cryptobriefing.com/zinc-opposes-metadao-zkfg-buyout-proposal/"},{"credibility":2,"name":"MetaDAO: ZKLSOL fundraise page","type":"official","url":"https://metadao.fi/projects/zklsol/fundraise"},{"credibility":3,"name":"MetaDAO on X: ZKLSOL ICO announcement","type":"social_media","url":"https://x.com/MetaDAOProject/status/1979762437877629120"}]},{"content":"Following the pivot, Zinc (Solana) grew rapidly. The gamified mining protocol reportedly crossed 500,000 SOL in cumulative round volume — approximately $33 million — within 17 days of launch. According to DeFiLlama data reported by CryptoNews as of June 15, 2026, Zinc generated approximately $3.01 million in revenue over 30 days, with an annualized revenue run rate approaching $57.8 million. On certain days it accounted for nearly 20% of Solana's total DeFi application revenue ($469,504 of $2.36 million). Its market capitalization was listed at approximately $3.21 million, indicating an extraordinarily high revenue-to-market-cap ratio that attracted attention. The ZKFG governance token traded at approximately $0.0847 as of the reporting period.","heading":"Zinc on Solana (ZKFG) — Revenue Performance and Protocol Activity","severity":"medium","sources":[{"credibility":2,"name":"CryptoNews: Leading Solana revenue generator Zinc faces governance battle (June 15, 2026)","type":"news_article","url":"https://cryptonews.net/news/altcoins/33012988/"},{"credibility":2,"name":"LiveBitcoinNews: ZKFG Buyout Battle Escalates","type":"news_article","url":"https://www.livebitcoinnews.com/zkfg-buyout-battle-escalates-as-zinc-moves-to-block-new-metadao-proposal/"}]},{"content":"A governance conflict emerged between Zinc's anonymous founder/operator and ZKFG token holders facilitated through MetaDAO's futarchy-based governance system (where proposals are decided via conditional prediction markets rather than token-weighted voting). A first proposal, ZKFG-006 (authored by Zinc), allegedly passed but was not executed due to what critics described as missing IP rights transfer provisions, lack of executable instructions, and violations of MetaDAO's buyback policies. MetaDAO co-founder Proph3t subsequently authored ZKFG-007, a counter-proposal offering $0.15 per ZKFG token (approximately 77% above the market price of $0.0847 at the time). Under ZKFG-007, if escrow is funded within a defined window, the ZKFG token is liquidated and Turbine Cash DAO LLC's IP transfers to Zinc's founder and operator. If escrow is not funded in time, a 90-day proposal moratorium activates and the majority of protocol revenue redirects to Zinc's treasury. Zinc's management publicly opposed ZKFG-007, stating its priority was 'continuing to generate revenue and provide updates to the community.' Some community members alleged Zinc was 'rugging' investors; Zinc supporters characterized the dispute as a technical governance disagreement. As of June 15-16, 2026, both parties indicated they were 'in an ongoing conversation' without a final resolution.","heading":"Governance Dispute — ZKFG Proposals 006 and 007","severity":"high","sources":[{"credibility":2,"name":"CryptoBriefing: Zinc opposes MetaDAO's ZKFG 007 buyout proposal at $0.15","type":"news_article","url":"https://cryptobriefing.com/zinc-opposes-metadao-zkfg-buyout-proposal/"},{"credibility":2,"name":"LiveBitcoinNews: ZKFG Buyout Battle Escalates as Zinc Moves to Block New MetaDAO Proposal","type":"news_article","url":"https://www.livebitcoinnews.com/zkfg-buyout-battle-escalates-as-zinc-moves-to-block-new-metadao-proposal/"},{"credibility":2,"name":"CryptoNews: Leading Solana revenue generator Zinc faces governance battle","type":"news_article","url":"https://cryptonews.net/news/altcoins/33012988/"}]},{"content":"The Solana-based Zinc project's founder and operator are not publicly identified in any available reporting. Coverage consistently refers only to 'the founder' and 'Zinc's founder and operator' without naming individuals. In the context of the ZKFG governance dispute, the anonymous founder stands to personally receive the intellectual property of Turbine Cash DAO LLC if ZKFG-007's escrow is funded. The absence of a disclosed, verified team identity is a commonly cited risk factor in crypto projects, particularly when governance and treasury control are concentrated in a single unnamed individual. Separately, the Zinc Protocol (Ethereum) team was publicly identified — founder Daniel Trahtemberg had a verifiable professional background at IronSource — though that project appears to have become inactive. No regulatory actions, SEC filings, or law enforcement actions against either entity have been identified in available searches.","heading":"Team Transparency and Anonymity Concerns","severity":"high","sources":[{"credibility":2,"name":"LiveBitcoinNews: ZKFG Buyout Battle Escalates","type":"news_article","url":"https://www.livebitcoinnews.com/zkfg-buyout-battle-escalates-as-zinc-moves-to-block-new-metadao-proposal/"},{"credibility":2,"name":"CryptoBriefing: Zinc opposes MetaDAO's ZKFG 007 buyout proposal","type":"news_article","url":"https://cryptobriefing.com/zinc-opposes-metadao-zkfg-buyout-proposal/"}]},{"content":"A material structural risk documented in reporting on the Solana Zinc/ZKFG project is the absence of formal legal documentation tying the Zinc IP to the original ZKLSOL investor structure. No signed addendum or updated operating agreement apparently exists that formally governs the pivot from ZKLSOL to Zinc. This gap means the relationship between the Zinc revenue-generating protocol and the ZKFG token holders is governed by informal arrangements and on-chain token economics rather than enforceable legal agreements. Critics argue this makes ZKFG holders structurally vulnerable if the founder elects to operate Zinc independently of the ZKFG token structure. Community members have raised allegations — characterized as 'rug' concerns — about investor treatment, though no legal or criminal action has been publicly filed as of June 2026. The Zinc Protocol (Ethereum) entity raises separate concerns due to a near-total token value collapse and apparent project abandonment without public explanation.","heading":"Legal and Structural Risks","severity":"critical","sources":[{"credibility":2,"name":"LiveBitcoinNews: ZKFG Buyout Battle Escalates","type":"news_article","url":"https://www.livebitcoinnews.com/zkfg-buyout-battle-escalates-as-zinc-moves-to-block-new-metadao-proposal/"},{"credibility":2,"name":"CryptoBriefing: Zinc opposes MetaDAO's ZKFG 007 buyout proposal","type":"news_article","url":"https://cryptobriefing.com/zinc-opposes-metadao-zkfg-buyout-proposal/"}]}],"sources_used":[{"credibility":2,"name":"CryptoNews: Leading Solana revenue generator Zinc faces governance battle (June 15, 2026)","type":"news_article","url":"https://cryptonews.net/news/altcoins/33012988/"},{"credibility":2,"name":"LiveBitcoinNews: ZKFG Buyout Battle Escalates as Zinc Moves to Block New MetaDAO Proposal","type":"news_article","url":"https://www.livebitcoinnews.com/zkfg-buyout-battle-escalates-as-zinc-moves-to-block-new-metadao-proposal/"},{"credibility":2,"name":"CryptoBriefing: Zinc opposes MetaDAO's ZKFG 007 buyout proposal at $0.15","type":"news_article","url":"https://cryptobriefing.com/zinc-opposes-metadao-zkfg-buyout-proposal/"},{"credibility":2,"name":"Blockonomi: Zinc ICO — Blockchain Advertising Platform that Rewards Users in their Apps","type":"news_article","url":"https://blockonomi.com/zinc-ico/"},{"credibility":2,"name":"CTech: IronSource Alums' Company Zinc to Launch Digital Coin","type":"news_article","url":"https://www.calcalistech.com/ctech/articles/0,7340,L-3738980,00.html"},{"credibility":2,"name":"CoinCentral: Zinc CEO Daniel Trachtemberg Interview","type":"news_article","url":"https://coincentral.com/interview-zinc-ceo-daniel-trachtemberg/"},{"credibility":2,"name":"CoinLore: ZINC Price, Chart, Market Cap","type":"other","url":"https://www.coinlore.com/coin/zinc"},{"credibility":2,"name":"CoinMarketCap: ZINC price today","type":"other","url":"https://coinmarketcap.com/currencies/zinc/"},{"credibility":2,"name":"Coinbase: ZINC Price, Live Charts, and Marketcap","type":"other","url":"https://www.coinbase.com/price/zinc"},{"credibility":2,"name":"MetaDAO: ZKLSOL fundraise page","type":"official","url":"https://metadao.fi/projects/zklsol/fundraise"},{"credibility":3,"name":"MetaDAO on X: ZKLSOL ICO announcement","type":"social_media","url":"https://x.com/MetaDAOProject/status/1979762437877629120"},{"credibility":2,"name":"Startup Nation Finder: Zinc Protocol — Israeli Startup","type":"other","url":"https://finder.startupnationcentral.org/company_page/zinc"},{"credibility":3,"name":"Zinc - Zcash Inscription Protocol (zinc.is)","type":"official","url":"https://zinc.is/"},{"credibility":3,"name":"AccessWire: Zinc's New Blockchain Based User Centric Advertising Protocol","type":"news_article","url":"https://www.accesswire.com/510759/Zincs-New-Blockchain-Based-User-Centric-Advertising-Protocol-Will-Be-Capable-Of-Reaching-1-Billion-Users-By-The-End-Of-2019"}],"summary":"The name 'Zinc' encompasses at least three distinct crypto entities: (1) Zinc Protocol, a 2018 Tel Aviv-based ERC20 advertising token that appears to have gone dormant with a ~98.8% price decline from its all-time high; (2) Zinc, a Solana-based gamified mining protocol that emerged from a pivot of the failed ZKLSOL privacy mixer project funded through MetaDAO, which became one of Solana's top revenue generators but is embroiled in a documented governance dispute over investor buyout terms; and (3) Zinc, a Zcash inscription protocol operating at zinc.is. The most active and notable entity as of mid-2026 is the Solana-based Zinc/ZKFG project, which raises concerns about anonymous founding team, absence of formal legal documentation governing its pivot from the original ZKLSOL mandate, and an unresolved governance conflict with MetaDAO investors.","timeline":[{"date":"2017-09-05","event":"ZINC ERC20 token listed; Zinc Protocol (Ethereum/advertising) launches","source":"CoinLore","source_url":"https://www.coinlore.com/coin/zinc"},{"date":"2018-08-20","event":"Zinc Protocol (Ethereum) ICO reported by Blockonomi; project in private presale stage with Altshuler Shaham reportedly in negotiations to invest","source":"Blockonomi","source_url":"https://blockonomi.com/zinc-ico/"},{"date":"2018-08-01","event":"CTech reports IronSource alums founding Zinc Protocol; CEO Daniel Trahtemberg gives interview to CoinCentral","source":"CTech / CoinCentral","source_url":"https://www.calcalistech.com/ctech/articles/0,7340,L-3738980,00.html"},{"date":"2019-01-01","event":"Zinc Protocol (Ethereum) Q1 2019 wallet app release targeted but no confirmed launch","source":"Blockonomi / Zinc Protocol Medium","source_url":"https://medium.com/zincprotocol/meet-zinc-protocol-7cf5152ab524"},{"date":"2025-04-19","event":"Last price data received for ZINC (Ethereum) token; CoinLore flags it as potentially delisted, abandoned, or paused","source":"CoinLore","source_url":"https://www.coinlore.com/coin/zinc"},{"date":"2025-10-20","event":"ZKLSOL ICO begins on MetaDAO, raising approximately $969,000 to build a privacy mixer on Solana","source":"MetaDAO / X (Twitter)","source_url":"https://x.com/MetaDAOProject/status/1979762437877629120"},{"date":"2025-11-25","event":"ZKFG token reports daily trading volume of approximately $10,000","source":"Search result aggregation","source_url":"https://cryptonews.net/news/altcoins/33012988/"},{"date":"2026-01-01","event":"ZKLSOL privacy mixer fails to gain traction; founder pivots to Zinc, a proof-of-work mining game, without formal legal documentation of the pivot","source":"LiveBitcoinNews","source_url":"https://www.livebitcoinnews.com/zkfg-buyout-battle-escalates-as-zinc-moves-to-block-new-metadao-proposal/"},{"date":"2026-03-01","event":"Zinc (Solana) crosses 500,000 SOL (~$33 million) in cumulative round volume within 17 days of launch","source":"CryptoNews","source_url":"https://cryptonews.net/news/altcoins/33012988/"},{"date":"2026-05-01","event":"ZKFG-006 proposal passes governance vote but fails to execute due to missing IP rights provisions and execution flaws; founder issues ~$500K in refunds to ZKLSOL investors who wished to exit","source":"LiveBitcoinNews / CryptoBriefing","source_url":"https://cryptobriefing.com/zinc-opposes-metadao-zkfg-buyout-proposal/"},{"date":"2026-06-01","event":"MetaDAO co-founder Proph3t authors ZKFG-007 buyout proposal at $0.15 per ZKFG token, representing approximately 77% premium over market price","source":"CryptoBriefing","source_url":"https://cryptobriefing.com/zinc-opposes-metadao-zkfg-buyout-proposal/"},{"date":"2026-06-14","event":"Zinc publicly opposes ZKFG-007, states it is in active talks with MetaDAO toward a resolution","source":"CryptoBriefing","source_url":"https://cryptobriefing.com/zinc-opposes-metadao-zkfg-buyout-proposal/"},{"date":"2026-06-15","event":"CryptoNews reports Zinc has generated $3.01 million in revenue over 30 days, representing ~20% of Solana DeFi daily revenue; governance dispute ongoing with no resolution","source":"CryptoNews","source_url":"https://cryptonews.net/news/altcoins/33012988/"}]},"v":1}