There are speculations of insider trading among the crypto community, in light of a recent on-chain data report from Etherscan, which revealed a massive withdrawal of nearly 1 trillion PEPE tokens from Binance, one of the world’s leading cryptocurrency exchanges.
Multi-Signature Wallets and Security Concerns
The transaction, amounting to $7.76 million, raised eyebrows and intrigued industry players, given that the withdrawal originated from an undisclosed address. The address utilizes a multi-signature Gnosis Safe Proxy wallet.
Gnosis Safe Proxy wallets employ robust security mechanisms that require multiple signatures to authorize transactions. This protocol adds an extra layer of security and control over assets. Meanwhile, there was a notable transaction from the same address just a day before this withdrawal of nearly 1 trillion PEPE tokens.
On that previous transaction, 322.48 billion PEPE tokens, equivalent to $2.62 million, were moved.Â
The total combined transactions now are nearly 1.3 trillion PEPE tokens. Hence the speculations about potential insider involvement. BGEcrypto reported a similar anonymous 3 trillion token transfer transaction on Shiba Inu (SHIB) recently.
The Timing Amidst a PEPE Price Rally
The speculation is further ignited by the intriguing timing of the transactions which coincided with a period of upward tick for Pepe Coin. The asset experienced a 17% increase in value over the past week. Notably, the current price stands at $0.000008453 as per CoinMarketCap.
In the crypto space, the sudden withdrawal from Binance is often considered a bullish signal. This indicates that large investors prefer to store their assets in decentralized wallets for greater security and reduced risk. However, the concern lies in the use of a multi-signature wallet which many consider a manipulation.
Pepe Coin is known for its frog-theme meme-based origins and connections to internet culture. The token has historically drawn attention from a wide range of traders and insiders, amplifying the scrutiny on such large transactions. The repercussions of this massive withdrawal could include price fluctuation and altered market sentiments
