$PEPE Trust in the PEPE project was severely tested in August 2023. The project's multi-signature wallet—which held ~6.9% of the supply for development use—had its security threshold unexpectedly lowered from 5/8 signatures to 2/8 signatures.

The Theft: Immediately after this change, approximately 16 trillion PEPE (valued at $15M at the time) were transferred to exchanges (Binance, OKX, Bybit) and sold.

The Aftermath: The remaining developer account posted on X (formerly Twitter) claiming that three "rogue" team members had stolen the funds and left the project. The remaining funds were moved to a new wallet, and the project claimed to be "cleansed" of the bad actors.

Insight: This incident highlights the centralization risk inherent in "community" projects. Despite the decentralized ethos, a small group of individuals often holds the keys to significant portions of the supply.#MarketRebound #PEPE‏