Following the reported theft of about 16 trillion PEPE tokens, Jeremy “Pauly” Cahen, a former Pepecoin booster turned crypto influencer, has accused the Pepecoin crew of insider trading.Pauly is currently disclosing the identity of team members and their financial activity. On-chain experts also highlight major insider Pepecoin transactions.
Pauly revealed that the Pepecoin team has about $16–17 million in PEPE tokens spread across nine wallets in an update on August 26.Unexpectedly, the insiders decided not to sell their stakes.Instead, they created a sizeable short position by strategically offloading PEPE from a wallet on a centralized exchange (CEX).
“I’ll likely be working with multiple branches of law enforcement to ensure that @degenharambe & the rest of his partners on the @pepecoineth team get brought to justice as soon as possible. Their greed & crimes have caused undue harm to many.”he said.
Additionally, he outlined the transaction activity of various members of the Pepecoin team and disclosed personal information about them.Pauly claims that the Pepecoin team is taking advantage of the community and that their claims about multisig wallets and PEPE holdings are completely untrue.
Yazan, an on-chain analyst, claims that insider selling of PEPE holdings has started, with 400 billion PEPE or more already sold, coinciding with Pauly’s exposure of Pepecoin team members.Yazan has responded by urging cryptocurrency exchanges like Binance and OKX to put safeguards in place to stop insider transactions.
Due to selloffs carried out by the team, Pepecoin’s price has taken a bearish turn and fallen by 15%.The PEPE price witnessed a fall despite a temporary 10% spike, which added to the already pervasive bad feeling in the neighborhood.At the time of writing, CoinMarketCap reports that the price of PEPE is $0.00000090, a 7% drop from the previous day.