Prominent cryptocurrency trader James Wynn on Tuesday denied claims that he made $65.2 million in profit from trading the memecoin $PEPE, countering a high-profile report published by blockchain analytics firm Lookonchain.
Lookonchain alleged in a post on X at 11:35 UTC that Wynn turned a $182,000 initial investment into more than $65 million through early accumulation and strategic trading of $PEPE.
According to the firm, Wynn utilized 24 wallets to acquire 7.2 trillion $PEPE tokens when the token’s market cap was just $600,000. Lookonchain reported that Wynn sold 6.76 trillion tokens for $33.84 million and currently holds 443.7 billion tokens valued at $6.28 million, amounting to a realized spot profit of $39.9 million.
It further claimed he earned $25.3 million through perpetual futures trading on Hyperliquid, a decentralized platform offering up to 50x leverage and zero gas fees.
Just five minutes after the report’s publication, Wynn issued a denial on X. “This is not true. I didn’t make anywhere near that number,” he wrote at 11:40 UTC. In a follow-up post, Wynn accused Lookonchain of spreading false information and warned of potential legal consequences. “You’ve also made some other fake claims recently,” he added, though did not elaborate further.
The incident has reignited debate around the reliability of on-chain analytics and the transparency of high-leverage trading practices. Wynn has recently attracted attention for his trading activity on Hyperliquid. A May 24 report by CoinTelegraph noted that Wynn opened a $1.25 billion long position on Bitcoin at 40x leverage, only to lose $29 million after the asset’s price dropped below $107,000 following tariff threats from U.S. President Donald Trump. Despite the setback, the report indicated Wynn remained $57 million in net profit from the trade. It also referenced a $25.2 million gain from a previously closed $PEPE position, partially aligning with Lookonchain’s claims.
Launched in 2023, $PEPE is a meme-based cryptocurrency inspired by the Pepe the Frog meme. The token surged to a market cap of $1.6 billion during its peak run between April and May 2023. Marketed as a no-tax, no-utility token similar to Dogecoin and Shiba Inu, $PEPE has since developed a loyal online following. As of May 27, the coin is trading at $0.00001362 with a 24-hour volume exceeding $1.3 billion, according to CoinMarketCap.
The controversy has sparked sharp reactions across social media. One user, @TheHodlMagnate, questioned Lookonchain’s math: “$182K at $600K Mcap would be a different number. Brother do the math not meth before you post something.” Another user, @aristhodle, cast doubt on the scale of Wynn’s early buy-in, writing, “he bought 6 figs worth at 600k mc wtf???”
Some commentators pointed to Wynn’s trading volatility. User @BetsandBirdies alleged Wynn “gave it all back not knowing how to trade btc in the last week rinsing 80m,” a claim that remains unverified. Others, like @Bit305989978907, defended the possibility of Wynn’s $PEPE gains, citing the coin’s explosive growth in 2023 as a textbook example of memecoin risk and reward.
The dispute highlights ongoing challenges in verifying blockchain data and the legal gray zones surrounding digital asset disclosures. A 2023 report by law firm Ashurst noted courts worldwide have struggled to define cryptoassets as traditional property, complicating litigation and asset recovery in cases of fraud or misrepresentation.
As the crypto market matures, the clash between Wynn and Lookonchain underscores the tension between transparency and speculation in an industry still grappling with regulation. Whether Wynn pursues legal action remains to be seen, but for now, the actual extent of his $PEPE profits remains in dispute.
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