BlockDAG and ZKP funds are said to have been returned to advertising, ZachXBT said
On-chain investigator ZachXBT says at least about $25 million of pre-sale funds combined with BlockDAG Network and ZKP appear to have been mixed together and went to influencer promotion and gambling-related marketing linked to Gurhan Kiziloz.
Summary
- ZachXBT alleges that BlockDAG and ZKP funds were used interchangeably instead of hedged by the project.
- He says that about $25 million flows through integrated wallets, different bridges and exchanges before reaching the addresses used for KOL and streamer payments.
- The warning clearly tells investors to avoid BlockDAG, ZKP and Spartans, the gambling platform ZachXBT has repeatedly linked to Gurhan Kiziloz.
ZachXBT accused the operators behind BlockDAG Network and ZKP of pooling presale funds and redirecting part of that money to influencer promotion fees, broadcasters and gambling-related marketing instead of limiting it to the goals investors were led to expect.
In his post, he says that on-chain tracking shows signs that at least $25 million from the two presales were used interchangeably in multiple wallets before they were merged, sent to the exchange and transferred to addresses associated with Spartans advertising payments and related organizations tied to Gurhan Kiziloz.
The allegations are important because the core allegation is not just the mismanagement of the treasury but the undisclosed reuse of investors’ money in all different sectors. According to RootData, ZachXBT already suspected that Kiziloz was behind BlockDAG and that the public-facing leadership was acting more as a cover than actual control.
The fund flows under the test
The new claim builds on months of scrutiny of BlockDAG’s unusually long-running and opaque presale movement. In a previous public warning on X, ZachXBT said that the token sale has been closed for more than two years while the currency is being sold through Middle East OTC desks as Kiziloz has spent more elsewhere.
Other stores have acquired parts of that broader picture. CryptoRank reported in October 2025 that ZachXBT alleged that Gurhan Kiziloz was the real mastermind behind BlockDAG and that millions of pre-sold coins were deposited by OTC traders, while CryptoPotato later summarized the allegations that BlockDAG took more than 300 million from retail investors using aggressive advertising tactics and absurd refund claims.
What has recently come to light here are the allegations that the ZKP was not separate financially even if it was different in the language of fundraising. ZachXBT says that the previous sales of BlockDAG and ZKP did not indicate that the funds could be used to support other businesses, and he says that the behavior of the fund suggests just that.
Spartans and investor warnings
ZachXBT also identified some addresses, including what he described as the Spartans KOL payment fund and the BlockDAG / ZKP presale fund pool, as part of the money flow he tracked through the system. His conclusion is unclear: investors should stay away from BlockDAG, ZKP and Spartans.
That warning matches a broader pattern in his previous report. Binance Square denied earlier allegations that Kiziloz was behind both Spartans and BlockDAG and that more than $300 million was raised from retail investors through heavy social media promotion and misleading partnership claims.
Retail frustration is also not a theory. Complaints on social media such as Reddit and Facebook groups have continued to focus on withdrawal delays, unclear spending and questions about whether the money collected was ever distributed in the first place.
The main problem is clear enough: if different presales were sold as separate opportunities but the money was pooled and used to pay external promoters in the gambling ecosystem, that is not a wise treasury management. It’s the kind of behavior that makes all “socially driven” pre-marketing look like a transfer from sales wallets to a private marketing machine.
