SINGAPORE, May 9, 2025 — Zoth, a fast-growing protocol in real-world asset (RWA) tokenization, is entering a new phase after a March exploit briefly disrupted operations on its ZeUSD platform. Instead of going silent, the team responded with transparency and urgency, reinforcing its commitment to building secure, institutional-grade infrastructure for RWAs onchain.
A Resilient Response
The exploit involved unauthorized protocol activity during Zoth’s mainnet expansion and token launch preparations. The team’s response was swift and composed; issues were contained, users were kept informed, and mitigation steps were implemented without delay.
Founder Pritam Dutta noted, “It would’ve been easy to walk away. But we didn’t build Zoth to be fragile.” That mindset shaped every step of the recovery process.
Strengthening the Foundation
Zoth’s comeback isn’t about quick fixes, it’s about building smarter. The protocol rolled out key upgrades, including:
- AI-powered real-time monitoring
- Independent smart contract audits
- A public bug bounty and open-sourced infrastructure
- Governance enhancements for secure future upgrades
Zoth also launched a Compensation Program to support affected users, via a mix of treasury-backed assets, vested $ZOTH tokens, and potential partner collaboration—a rare step in DeFi that helped restore trust.
Community-First Approach
A hybrid model was introduced to prioritize capital preservation and protocol sustainability. The package includes:
- Stable asset compensation for principal loss
- Vested $ZOTH tokens from the contributor and ecosystem reserves
- Active discussions with a liquid fund for user redemptions
This balanced approach resonated with users, retention remained above 80%, and the community stayed engaged in governance and recovery planning.
Staying Mission-Driven
Zoth’s long-term vision remains unchanged: to bridge real-world financial instruments like treasury bills and money market funds with permissionless yield on-chain. But it’s doing so through compliance-first design and institutional-grade security, not short-term hype.
“Zoth is not a DeFi casino,” said co-founder Koushik Bhargav. “We’re building public goods infrastructure for RWAs.”
Strategic Backing
Zoth secured a $15M strategic token commitment from Bolts Capital, reinforcing institutional belief in the protocol’s future and the broader potential of onchain RWAs.
What’s Next
Zoth is executing a phased relaunch of ZeUSD with a focus on long-term resilience. Guided by forensic experts and new security leadership, upcoming milestones include:
- Relaunch with risk-isolated vaults
- Cross-ecosystem liquidity partnerships
- Institutional onboarding
- DAO-led governance enhancements
Resilience Over Hype
Zoth’s recovery isn’t just about bouncing back—it’s about setting a new standard in RWA infrastructure: transparent, durable, and principled.
“We may have been hit hard. But we’re not done. Not even close.” Zoth Founders
About Zoth
Zoth is a decentralized infrastructure protocol enabling compliant tokenization and on-chain settlement of real-world assets such as treasury bills and sovereign debt. Built for institutional-grade security and capital efficiency, Zoth aims to redefine how RWAs move onchain.
Press Contact
Name: Pritam Dutta
Company: Zoth
Email: [email protected]
Phone: +91 9510733901
Website: https://zoth.io
SOURCE Zoth
