Zano rolls blockchain back a month after Gateway Address exploit
Reported by Cointelegraph · AI-assisted summary by ChikoCorp AI News Desk
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Summary
Zano rolled back its blockchain by about one month after a Gateway Address vulnerability allowed unauthorized ZANO and Freedom Dollar (fUSD) tokens to enter circulation. The rollback reset the chain to block 3,833,000, just before Hard Fork 6, which introduced the compromised feature. The Zano core team indicated that nodes, miners, stakers, exchanges, and services must update to adopt the rollback, which invalidates all transactions during the affected period.
Why it matters
The rollback aims to restore the blockchain’s fixed supply of tokens by removing unauthorized coins, preserving the currency’s fundamental promise. Zano’s head of marketing, Quinten van Welzen, emphasized that failing to act would have damaged trust and rewarded attackers by letting exploited coins retain value. The source states the rollback will cost the project both transaction history and trust, but considers it necessary to prevent further damage.
Key context
Before Hard Fork 6, Zano used a UTXO model where ordinary wallets tracked funds as separate transaction outputs. Gateway Addresses, introduced in Hard Fork 6 to simplify integrations for bridges, exchanges, and payment services, allow managing funds through single account-style balances. This new feature led to the vulnerability exploited to mint unauthorized tokens. Zano launched in May 2019 as a privacy-focused layer-1 blockchain with private transactions hiding sender, receiver, amount, and asset type, and supports custom digital assets like Freedom Dollar.
Key numbers and entities
Zano blockchain reset at block 3,833,000. Hard Fork 6 introduced Gateway Addresses. The involved tokens are ZANO (native token) and Freedom Dollar (fUSD). Quinten van Welzen is Zano’s head of marketing and growth. Zano launched in May 2019. No specific figures on the amount of unauthorized tokens issued were provided.
What remains unclear
The exact mechanics of the Gateway Address vulnerability and the extent of unauthorized token circulation are not detailed. No post-mortem report has been released at the time of publication. The source does not specify how the reimbursement and claims process will operate or how losses will be accounted for. Details about how settled transactions on other blockchains are being handled remain unexplained.