Pepecoin: Insider Trading Allegations Arise as Token Theft Rocks Community

Former Promoter Raises Concerns

Former PEPE promoter turned crypto influencer, Jeremy "Pauly" Cahen, has come forward with allegations of insider trading against the Pepecoin team following the reported theft of approximately 16 trillion PEPE tokens. Pauly is not holding back, exposing team members' identities and sharing details of their wallet activities. On-chain analysts also point to significant Pepe Coin transactions involving insiders.

Discrepancies in Wallet Activities

In an August 26 update, Pauly disclosed that the Pepecoin team holds an estimated $16-17 million in PEPE tokens distributed across 9 distinct wallets. Interestingly, these insiders have refrained from selling any of their holdings. Instead, they strategically moved PEPE tokens from a centralized exchange (CEX) wallet, establishing a substantial short position.

"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."

Pauly has also revealed personal information about several individuals from the Pepecoin team and detailed their transaction activities. According to Pauly, the Pepecoin team is exploiting the community, and he asserts that their explanations regarding multi-sig wallets and PEPE holdings are completely false.

Insider Selling Begins

According to on-chain analyst Yazan, insider selling of PEPE holdings has already begun, with around 400 billion PEPE tokens already sold, coinciding with Pauly's exposure of Pepecoin team members. In response, Yazan has called upon crypto exchanges such as Binance and OKX to take action and implement measures to prevent transactions from insiders.

Price Takes a Hit

As a result of the selloffs executed by the Pepe Coin team, Pepecoin's price has taken a bearish turn, plummeting by 15%. Although there was a brief 10% increase, the PEPE price couldn't sustain its momentum and has experienced a decline, further fueling the negative sentiment within the community.

According to Coinmarketcap, the current price of PEPE stands at $0.00000090, exhibiting a 7% decrease over the last 24 hours. During this period, the price fluctuated between $0.00000085 and $0.00000095. Additionally, the trading volume has diminished in the past 24 hours, suggesting a waning interest among traders.