WhiteRock's WHITE Token Drops 25% After Founder's Arrest

WhiteRock's native token, WHITE, has experienced a significant decline, dropping nearly 25% in the past 24 hours. This sharp decrease follows reports that the founder of WhiteRock, Ildar Ilham, has been arrested in the United Arab Emirates. The arrest is linked to an international investigation into a crypto scam involving Zkasino, which allegedly defrauded investors of $30 million.

Blockchain analyst ZachXBT, who had previously raised concerns about a potential connection between Ilham and the Zkasino scam, shared updates on Ilham's detention. According to ZachXBT, Ilham is currently awaiting extradition to the Netherlands, where he faces criminal charges. The analyst highlighted several red flags surrounding the WhiteRock project, including the anonymous nature of the team, false claims about partnerships, and commingled fund flows. ZachXBT also linked WhiteRock’s marketing wallet to the $30 million stolen from the Zkasino gambling platform.

ZachXBT's investigation revealed that at least one team member from the Zkasino exit scam is involved with the WhiteRock project. The analyst pointed out on-chain transactions linking both projects and a personal email address, suggesting a direct connection between the two. ZachXBT also expressed concerns about the risk of a rug pull with WhiteRock, citing the project's history with other scams such as Syncus and Zigzag.

Despite the recent decline, WHITE's price had surged by more than 116% on May 30 following rumors of a potential mega partnership with a Saudi Arabian oil company. However, the token has since plummeted by nearly 60% over the past month, reflecting the market's skepticism and the impact of the ongoing investigation.

WhiteRock is an on-chain brokerage for tokenized equities and bonds, and its native token WHITE powers the platform. The project has been listed on several exchanges, including MEXC, BingX, and Gate. The recent developments have raised concerns about the legitimacy of the project and its future prospects, as investors and analysts closely monitor the situation.