diff --git a/CHANGELOG.md b/CHANGELOG.md
index 996e0f82cc..62ebe2e8d4 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -4,6 +4,11 @@
 ### Bug Fixes
 
 - **depends:** Prevent error on no URL ([#4595](https://github.com/ScoopInstaller/Scoop/issues/4595))
+- **decompress:** Fix nested Zstd archive extraction ([#4608](https://github.com/ScoopInstaller/Scoop/issues/4608))
+
+### Documentation
+
+- **changelog:** Add 'CHANGLOG.md' ([#4600](https://github.com/ScoopInstaller/Scoop/issues/4600))
 
 <a name="2021-12-26"></a>
 ## [2021-12-26]
diff --git a/lib/decompress.ps1 b/lib/decompress.ps1
index db077d4155..57d0ea57e3 100644
--- a/lib/decompress.ps1
+++ b/lib/decompress.ps1
@@ -137,20 +137,20 @@ function Expand-ZstdArchive {
         [String]
         $Switches,
         [Switch]
-        $Overwrite,
-        [Switch]
         $Removal
     )
     $ZstdPath = Get-HelperPath -Helper Zstd
-    $LogPath = "$(Split-Path $Path)\zstd.log"
-    $DestinationPath = $DestinationPath.TrimEnd("\")
+    $LogPath = Join-Path (Split-Path $Path) 'zstd.log'
+    $DestinationPath = $DestinationPath.TrimEnd('\')
     ensure $DestinationPath | Out-Null
-    $ArgList = @('-d', "`"$Path`"", '--output-dir-flat', "`"$DestinationPath`"", "-v")
+    $ArgList = @('-d', "`"$Path`"", '--output-dir-flat', "`"$DestinationPath`"", '-f', '-v')
+
     if ($Switches) {
         $ArgList += (-split $Switches)
     }
-    if ($Overwrite) {
-        $ArgList += '-f'
+    if ($Removal) {
+        # Remove original archive file
+        $ArgList += '--rm'
     }
     $Status = Invoke-ExternalCommand $ZstdPath $ArgList -LogPath $LogPath
     if (!$Status) {
@@ -158,19 +158,15 @@ function Expand-ZstdArchive {
     }
     $IsTar = (strip_ext $Path) -match '\.tar$'
     if (!$IsTar -and $ExtractDir) {
-        movedir "$DestinationPath\$ExtractDir" $DestinationPath | Out-Null
+        movedir (Join-Path $DestinationPath $ExtractDir) $DestinationPath | Out-Null
     }
     if (Test-Path $LogPath) {
         Remove-Item $LogPath -Force
     }
     if ($IsTar) {
         # Check for tar
-        $TarFile = (strip_ext $Path)
-        Expand-7zipArchive -Path "$TarFile" -DestinationPath $DestinationPath -ExtractDir $ExtractDir -Removal
-    }
-    if ($Removal) {
-        # Remove original archive file
-        Remove-Item $Path -Force
+        $TarFile = Join-Path $DestinationPath (Split-Path $Path -LeafBase)
+        Expand-7zipArchive -Path $TarFile -DestinationPath $DestinationPath -ExtractDir $ExtractDir -Removal
     }
 }
 
diff --git a/test/Scoop-Decompress.Tests.ps1 b/test/Scoop-Decompress.Tests.ps1
index f14c3cf0f6..a80041f6b3 100644
--- a/test/Scoop-Decompress.Tests.ps1
+++ b/test/Scoop-Decompress.Tests.ps1
@@ -19,7 +19,7 @@ Describe 'Decompression function' -Tag 'Scoop', 'Decompress' {
         It "Decompression test cases should exist" {
             $testcases = "$working_dir\TestCases.zip"
             $testcases | Should -Exist
-            compute_hash $testcases 'sha256' | Should -Be '900b6e05275ad11a57dad85ffac6d9b4995657956a980bb1eae12c173f34a280'
+            compute_hash $testcases 'sha256' | Should -Be '3a442e85b466833eeafbd08c57d8f51bf7ff041867ee0bdb7db1f12480b3624a'
             if (!$isUnix) {
                 Microsoft.PowerShell.Archive\Expand-Archive $testcases $working_dir
             }
@@ -91,14 +91,14 @@ Describe 'Decompression function' -Tag 'Scoop', 'Decompress' {
         It "extract normal compressed file" -Skip:$isUnix {
             $to = test_extract "Expand-ZstdArchive" $test1
             $to | Should -Exist
-            "$to\empty" | Should -Exist
+            "$to\ZstdTest" | Should -Exist
             (Get-ChildItem $to).Count | Should -Be 1
         }
 
         It "extract nested compressed file" -Skip:$isUnix {
-            $to = test_extract "Expand-7zipArchive" $test2
+            $to = test_extract "Expand-ZstdArchive" $test2
             $to | Should -Exist
-            "$to\empty" | Should -Exist
+            "$to\ZstdTest" | Should -Exist
             (Get-ChildItem $to).Count | Should -Be 1
         }
 
diff --git a/test/bin/test.ps1 b/test/bin/test.ps1
index d84cce3240..ec0662e571 100644
--- a/test/bin/test.ps1
+++ b/test/bin/test.ps1
@@ -1,7 +1,7 @@
-#requires -Version 5.0
-#requires -Modules @{ ModuleName = 'BuildHelpers'; ModuleVersion = '2.0.1' }
-#requires -Modules @{ ModuleName = 'Pester'; ModuleVersion = '4.4.0' }
-#requires -Modules @{ ModuleName = 'PSScriptAnalyzer'; ModuleVersion = '1.17.1' }
+#Requires -Version 5.0
+#Requires -Modules @{ ModuleName = 'BuildHelpers'; ModuleVersion = '2.0.1' }
+#Requires -Modules @{ ModuleName = 'Pester'; RequiredVersion = '4.10.1' }
+#Requires -Modules @{ ModuleName = 'PSScriptAnalyzer'; ModuleVersion = '1.17.1' }
 param(
     [String] $TestPath = 'test/'
 )
@@ -39,7 +39,7 @@ if ($env:CI -eq $true) {
     }
 
     if ($env:CI_WINDOWS -ne $true) {
-        Write-Warning "Skipping tests and code linting for decompress.ps1 because they only work on Windows"
+        Write-Warning 'Skipping tests and code linting for decompress.ps1 because they only work on Windows'
         $excludes += 'Decompress'
     }
 
diff --git a/test/fixtures/decompress/TestCases.zip b/test/fixtures/decompress/TestCases.zip
index d8905f4c57..fb32e387f7 100644
Binary files a/test/fixtures/decompress/TestCases.zip and b/test/fixtures/decompress/TestCases.zip differ