- 1.4 million USDC has been moved to Ethereum.
- The community is divided into concerns about fraud and trolling theory.
- ZACHXBT criticized the victim’s lack of evidence and said he would not investigate the case.
After reporting that the trader was cheated by the OTC transaction, a dispute over $ 1.4 million triggered a heated debate on the cryptocurrency Twitter, and later announced that another account deposited exactly the same amount to KUCOIN.
The timing and similarity of the amount triggered the wave of speculation, and the cryptocurrency community is arguing whether the two events are associated or the second post was trolling attempts.
This case emphasizes the weakness of cryptocurrency OTC transactions that are important but difficult to implement.
Focus on the danger of OTC transaction after transfer of $ 1.4 million
The controversy began with sharing a post that trader 0x_leo_ suffered $ 1.4 million in OTC transactions on X (Twitter).
They called the blockchain investigator ZACHXBT and urged KUCOIN to block the target address.
According to the onchain record, 1.4 million USDC (about $ 1,39,900) is an Ethereum address 0x887e… 0xd04d at D35260… It was moved to 41B8724.
The transfer is confirmed in block 23493672 and the fee is only $ 0.06.
OTC transactions, which are personally performed outside the centralized exchange, are still popular in high value transactions.
However, if there is no legal means or basic guarantee, fraud and dispute are easy to arise.
This case emphasized the limited protection of the trader when such a deal is wrong.
KUCOIN deposits increase speculation.
Just two hours after the suspicion of fraud, an account called BASED16Z was posted.
I just dropped $ 1.4 million from KUCOIN. What are we imitating?
Due to the overlapping value between the two posts, speculation triggered the entire community.
Some have proposed to be associated with missing money, while some have regarded them as an attempt to induce participation by coincidence or viral story.
A series of events triggered further division among users.
One group believed that the post could be connected, but the other group dismissed it as a mix of the irony, memes and wrong information of Crypto Twitter.
In both cases, concerns about the transparency of personal cryptocurrency transactions have been amplified by this incident.
Blockchain detective, rejection of intervention
Despite the designation of the tag, ZACHXBT said he would not investigate the case, criticizing the lack of evidence provided by the victim.
He said that chat log or transaction details were not shared in private, causing doubts about account claims.
The lack of subsequent information was not resolved, causing confusion in the community.
It is still speculation to connect the two posts without clear onchain or exchange confirmation.
A question is raised by past links between the two accounts.
Further survey showed that the activity between 0x_leo_ and baseD16z was partially overlapped.
Both accounts posted an optimistic atmosphere on September 20 about ASTER DEX.
They also commented on Pump Mimoin in mid -July and questioned whether their interaction was coincidence or how much the contest was implied.
There is no official comment at KUCOIN, and there is no evidence that the funds reported to have been lost are directly related to $ 1.4 million.
This incident remains unresolved yet, so many people in the community are not sure whether this is a scam, a stunt, or a timely coincidence.