Key Points
- ZachXBT investigation alleges insider trading by Axiom employees using internal user data.
- Axiom revoked access, launched probe, and stated user wallets remain secure.
On February 26, blockchain investigator ZachXBT published findings alleging insider trading at Axiom exchange.
He said multiple employees misused internal tools to access sensitive user wallet data for trading purposes.
Investigation Details
According to ZachXBT, information provided by senior business development employee Broox Bauer showed that staff could look up user details through referral codes, wallet addresses, or account IDs.
The alleged activity reportedly began in early 2025 and involved tracking private wallet transactions.
Axiom, founded in 2024 by Mist and Cal, became one of the crypto sector’s most profitable firms after participating in Y Combinator’s Winter 2025 accelerator program.
The investigator stated that internal dashboards allowed certain roles to access wallet information, transaction histories, linked accounts, and user names.
Screenshots shared during the investigation appeared to show private wallet data of selected traders retrieved from internal systems.
ZachXBT reported that groups within the company compiled lists of key opinion leaders (KOLs), mapping wallet addresses obtained through internal lookups.
Several KOLs allegedly confirmed the accuracy of the wallet information attributed to them.
The report noted that traders dealing in meme coins, including AURA, were among those discussed in internal communications.
One trader identified as Marcell was described as being targeted after bundling meme coins in private wallets before promoting them publicly.
ZachXBT also claimed that Broox’s primary wallet and related addresses were identified through private chat messages, showing significant meme coin trading activity.
He stated that trade timing indicated potential reliance on internal log access beyond publicly visible wallet data.
Funds from these transactions were reportedly routed to several centralized exchanges, though specific platforms were not named.
The investigator further alleged that screenshots of exchange balances suggested profits from the activity, and that discussions included plans to generate substantial gains for other employees.
Exchange Response and Market Impact
ZachXBT concluded that insider trading occurred through misuse of internal data and that monitoring and access controls were insufficient.
He contacted Axiom for comment and suggested that the company’s leadership review the matter and consider legal action where appropriate.
Axiom stated publicly that it was shocked by the alleged abuse of internal customer support tools and confirmed that access had been removed.
The exchange said it is continuing its investigation and pledged to hold responsible parties accountable.
CEO Mist later addressed the matter, stating that user wallets were not compromised and remain secure.
The company also announced additional safeguards to prevent similar incidents.
Prior to the report’s release, speculation about the investigation’s target led traders to place bets on Polymarket, contributing to broader market volatility.
