Pepecoin’s Bewildering Rise Turned a Pittance Into an Almost 5,000,000% Meme Coin Profit

Krisztian Sandor Krisztian Sandor is a reporter on the U.S. markets team focusing on stablecoins and institutional investment. He holds BTC and ETH. Follow @ sndr_krisztian on Twitter The bewilderingly fast rise of pepecoin ( PEPE ), a meme coin introduced mere weeks ago that’s now worth more than $1 billion, is making gigantic fortunes for those undeterred by warnings this is a fad that will end badly. A perfect example: a pseudonymous trader named dimethyltryptamine.eth spent $263 just three weeks ago to buy trillions of PEPE tokens. That former pittance has turned into $3.8 million in profits from tokens they’ve already sold, and their remaining holdings are worth about $9 million, according to data by blockchain research firm Arkham Intelligence. That’s an almost 5,000,000% profit. The trader is benefitting from the breakneck rally of a coin based on the “pepe the frog” meme, a popular symbol in crypto circles. Launched in April, the meme coin’s market capitalization astonishingly surpassed $1 billion on Friday and, according to CoinGecko , at one point was worth more than Arbitrum’s ARB , which is also among the hottest newly issued tokens of 2023. Analysts, however, have raised concerns about the concentrated ownership of pepecoin, pointing to a handful of traders acquiring substantial amounts of PEPE when the token was released last month. Blockchain sleuth Lookonchain unveiled five accounts connected to a wallet belonging to pepecexwallet.eth, which received funds directly from the token’s deployer contract, acquired over 8.87 trillion PEPE after issuance for just $385. Dimethyltryptamine.eth, which wasn’t cited among the insider wallets by Lookonchain but belongs among the earliest buyers, purchased 5.907 trillion of PEPE tokens for $263 in two transactions on April 14 using UniSwap, Arkham shows. The trader also paid $17 for gas fees. Since then, the trader has been gradually taking profits by sending smaller amounts multiple times a day to UniSwap, and receiving ether (ETH) in exchange. The wallet has sent $3.8 million of PEPE to UniSwap in the past month, per Arkham data, presumably to take profits, with $2.4 million of that transferred in the past 24 hours. Pepecoin trader has been taking profits. (Arkham Intelligence) Read more: Pepecoin Short Sellers Lose Millions as PEPE Nears $1B Valuation Edited by Nick Baker. DISCLOSURE Please note that our privacy policy , terms of use , cookies , and do not sell my personal information has been updated . The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies . CoinDesk is an independent operating subsidiary of Digital Currency Group , which invests in cryptocurrencies and blockchain startups . As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights , which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG . Krisztian Sandor Krisztian Sandor is a reporter on the U.S. markets team focusing on stablecoins and institutional investment. He holds BTC and ETH. Follow @ sndr_krisztian on Twitter Learn more about Consensus 2024 , CoinDesk’s longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now. Krisztian Sandor Krisztian Sandor is a reporter on the U.S. markets team focusing on stablecoins and institutional investment. He holds BTC and ETH. Follow @ sndr_krisztian on Twitter