According to Onchain Lens, a blockchain analytics firm, five addresses potentially linked to fraudulent activity have spent a combined $4.28 million in ETH and USDT to purchase PEPE tokens. The addresses reportedly received funds 15 days ago from Tornado Cash, a crypto mixing protocol previously sanctioned by the U.S. government for its use in laundering illicit funds.
$4.28 Million in PEPE Buys Raise Red Flags
The significant token purchases occurred on April 16 and were traced back to funds funneled through Tornado Cash, a tool commonly used to obfuscate the origin of digital assets. Onchain Lens analysts flagged the transactions, warning that the involved wallets "may be associated with a fraudulent entity."
While the PEPE memecoin has seen surging interest in recent months amid speculative trading, this latest activity adds a layer of risk and controversy to the token’s market dynamics.
What We Know So Far:
Addresses Involved: 5 newly activated wallets
Origin of Funds: Tornado Cash (15 days prior to activity)
Amount Spent: $4.28 million (ETH & USDT)
Asset Purchased: PEPE tokens
Suspicion: Possible fraud-related activity
