After several community suspicions of insider trading, the team behind Pepecoin (PEPE) has finally confirmed that the theft of 16 trillion PEPE tokens from its protocol was hijacked by its team members. Three former team members connived to perpetrate the theft of the PEPE tokens from the multisig wallet valued at approximately $15 million.
MaThisould be considered insider trading just as the Pepecoin community members had initially suspected.
Pepecoin Network Loses 16T PEPE
The Pepecoin network was exploited a few days ago and the perpetrators made away with $15 million worth of PEPE.
It was later discovered that the bad actors went on to sell the stolen coins on cryptocurrency exchanges like OKX, Binance, Kucoin and Bybit. Also, the required signer count for the Pepecoin multisig wallet was reduced to just 2 out of the original 8 wallets.
To cover their tracks and avoid the exploit being linked to them, the three ex-team members also deleted their social accounts. On account of this breach, the PEPE multisig wallet is left with 10 trillion tokens and one signer who claimed that the tokens are safe. As of August 26th, it was confirmed that the remaining 10 trillion tokens had been transferred to another wallet.
Pepecoin Face Internal Tussle
This one signer confirmed that since the inception of the protocol, Pepecoin has been faced with certain tussle amongst its inner team who “were bad actors led by big egos and greed”.
“There has often been conflict, and the majority of the team involved in $PEPE creation started to distance themselves after the first week of project inception. They blocked team progress on making donations or purchases with multi-sig tokens due to inability to make signatures, disagreements, and being unavailable to contact for weeks at a time,” the signer explained further.
One Signer Left on PEPE Multisig Wallet
Usually, for an approval on the multisig, about 3 out of the 4 signers will be required to be present.
The three bad actors connived and secretly logged into the multisig where they stole 60% of the 26 trillion multi-sig tokens. However, before exiting the multisig, they left a message for the remaining signer stating that “the multi-sig has been updated, you are now in full control.”
To control the extent of their damage, all communication has been restricted to a Twitter account called pepecoineth.