Former BNB Chain Employee Faces Legal Consequences Over Unauthorized Memecoin Creation
The blockchain platform has refuted any connection to a meme token following allegations that a past staff member exploited retained wallet access to deploy the digital asset.
The blockchain ecosystem that powers the BNB cryptocurrency, BNB Chain, has announced its intention to take legal measures following allegations that a past staff member exploited unauthorized wallet access to deploy a memecoin.
Through a Saturday post on X, the platform revealed that the wallet in question had been initially established for the purposes of a video tutorial demonstrating the process of launching tokens on the BNB Chain network. According to the statement, the individual who previously worked for the company maintained unauthorized access to the seed phrase associated with the wallet following their departure from the organization and subsequently utilized this address to deploy a new token.
Following this disclosure, Lookonchain, a platform specializing in blockchain analytics, made allegations that the former staff member launched a meme token identified as Asteroid Shiba (ASTEROID) and utilized four freshly generated wallets to acquire 796.7 million tokens, which constituted 79.67% of the complete token supply. The analytics platform went on to allege that these wallets proceeded to liquidate 718.8 million tokens in exchange for 1,103 BNB, valued at approximately $638,000 at the moment of the transaction.
BNB Chain did not create, authorize, promote or participate in the creation of this token and has no control over the token or wallet address.
BNB Chain
Changpeng "CZ" Zhao, the founder and former chief executive officer of Binance, redistributed BNB Chain's official statement on X, characterizing the former staff member as "basically a scammer," while simultaneously cautioning users to "Stay SAFU."