The recent changes to a multisig wallet and the transfer of tokens in Pepe (PEPE), a frog-themed memecoin, have triggered a significant price drop of nearly 15%. The actions taken by the developers have raised concerns among investors, fueling fears of a potential “rug pull”. These allegations, coupled with the negative price movement, have cast doubts on the integrity of the project.
On August 24th, approximately $16 million worth of Pepe tokens were sent from the developers’ multisig wallet to various crypto exchanges. The blockchain custody app Safe Global recorded that the wallet address transferred a significant amount of tokens, approximately 16 trillion Pepe tokens. This accounts for about 3.8% of the total supply. The tokens were sent to three exchanges – OKX received $8.2 million, Binance received $6.5 million, and Bybit received $434,000. Another $400,000 was transferred to an unknown wallet.
Additionally, the developers made a noteworthy alteration to the team’s multisig wallet. Previously, five out of eight signatures were required for any transfers from the wallet. However, after the recent token transfers, the wallet now only requires two out of eight signatures. This change has raised suspicions among investors regarding the intentions of the developers.
Pepe tokens were highly regarded by many memecoin investors as a potential contender to “flip” Dogecoin (DOGE) during the next bull run. However, the movement of such a substantial amount of funds from the multisig wallet to exchanges has led some investors to question this belief. The sudden transfer and changes to the wallet have created doubts about the long-term viability and stability of Pepe as a meme token.
The actions taken by the developers of Pepe have ignited concerns of a possible “rug pull.” A rug pull refers to a situation where developers abandon a project after transferring a significant portion of the project’s tokens to exchanges, resulting in a significant drop in token value. The transfer of 16 trillion Pepe tokens to exchanges, coupled with the changes in the multisig wallet, have raised suspicions about the intentions and trustworthiness of the developers.
The price plunge of Pepe memecoin following recent changes to a multisig wallet and token transfers has raised concerns among investors. The transfer of a substantial amount of tokens to exchanges, combined with the alterations to the wallet’s signature requirements, has sparked fears of a potential rug pull. These actions have cast doubts on the future prospects of Pepe as a competitive memecoin and have adversely impacted investor sentiment. As the situation unfolds, investors are closely monitoring the actions of the developers and evaluating their trust in the project.