Zinc opposes MetaDAO’s ZKFG-007 buyout proposal as a dispute over $ZKFG ownership and governance intensifies.
Zinc has publicly announced opposition to ZKFG-007, a new proposal put forward by the MetaDAO team.
The proposal would allow Zinc holders and its founder to buy out $ZKFG holders at $0.15 per token. If escrow gets funded, the deal would take
Turbine Cash DAO LLC private. This latest move follows the failed execution of ZKFG-006.
Besides, this near-identical buyout proposal passed but was never cleared due to missing escrow, unclear IP transfer terms, and invalid on-chain instructions.
The History Behind the ZKFG and Zinc Governance Dispute
ZKFG is the ownership token tied to a project that originally raised $969K through MetaDAO under the name ZKLSOL.
That project set out to build a privacy mixer for Solana. The business failed to gain traction, but the founder did not walk away.
According to crypto commentator The White Whale, the founder issued a $500K refund to investors who wanted out, with many exiting in profit.
The team later pivoted, building Zinc, a private proof-of-work mining game funded through the ZKFG treasury.
Zinc grew fast. It became the second-highest revenue-generating protocol on Solana. Under Zinc’s tokenomics, a portion of protocol revenue was supposed to flow back to the ZKFG treasury.
No formal legal documentation ever captured the pivot. There was no signed addendum or updated operating agreement formally tying Zinc’s IP to the original ZKLSOL structure. That gap sits at the core of the current dispute.
🚨JUST IN: @zinc_cash says it is trying to block @MetaDAOProject's ZKFG 007 proposal, which would let Zinc holders and its founder buy out solana:ZKFHiLAfAFMTcDAuCtjNW54VzpERvoe7PBF9mYgmeta holders at $0.15 and take Turbine Cash DAO LLC private if escrow is funded.
The pushback… pic.twitter.com/LigWjt8R4S
— SolanaFloor (@SolanaFloor) June 14, 2026
What ZKFG-007 Actually Proposes
MetaDAO co-founders put forward ZKFG-007 to break the deadlock left by ZKFG-006.
The new proposal establishes a clear mechanism: if sufficient funds are placed in escrow 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 does not get funded in time, ZKFG-007 imposes a 90-day proposal moratorium and redirects the majority of protocol revenue to Zinc’s treasury.
Zinc publicly stated it is fighting the proposal and said it is in active talks with the MetaDAO team toward a resolution that serves all parties.
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Governance Credibility Now on the Line
The White Whale raised pointed concerns about how ZKFG-006 was handled. Per the commentary, MetaDAO founders requested a deposit toward the passed proposal.
Funds were sent across two on-chain transactions. The proposal then passed.
After both events, the team declared the proposal invalid on procedural grounds, while the deposited funds remained unreturned.
The White Whale argued this sequence undermines the legitimacy of futarchy as a governance model.
No Good Deed Goes Unpunished In Crypto – The Wild & Crazy Zinc Story
I’ve been watching the Zinc / ZKFG situation unfold, and the more I learn, the clearer the actual story becomes.
This is not about poor early investors being abandoned as some accounts try to spin the… pic.twitter.com/Qt6XFzVVet
— The White Whale (@WhiteWhaleLabs) June 14, 2026
If a proposal passes but gets dismissed after funds are submitted, the system’s sovereignty becomes questionable.
The White Whale also noted that much of the current pressure comes from late-stage buyers and secondary market participants who entered $ZKFG positions only after Zinc showed commercial success, not original backers of the failed mixer project.
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