YouTuber Coffeezilla, AKA Stephen Findeisen, has been exposing SafeMoon in a collection of movies that allege fraudulent practices on the group. Primarily, this pertains to the theft of person funds from the “locked staking pool.”
In response to the allegations, former SafeMoon CTO Thomas “Papa” Smith approached Findeisen to present his aspect of the story.
Former SafeMoon CTO responds to the allegations
Allegations of key personnel committing fraud at SafeMoon prompted Smith to contact Findeisen for the precise to answer. Findeisen mentioned he revered the transfer, as “it takes guts to tackle onerous questions.”
On the allegation of staff members dipping into the “locked liquidity pool,” Smith mentioned the auto-locking operate was in place. Nevertheless, following John Korony’s appointment as CEO, on March 10, 2021, Korony subsequently moved to get rid of the locking characteristic.
“I believe, at first, we have been making an attempt to do the auto-locking. And when the group began, John leveraged to have it unlocked. So there was loads of shifting at first.”
Findeisen countered by saying funds have been taken from the “locked liquidity pool” earlier than Korony’s appointment. He despatched Smith proof of this within the type of a blockchain transaction displaying an outflow of 36.7 trillion tokens from the liquidity pool, dated March 5, 2021.
Smith mentioned Findeisen is entitled to ask these “varieties” of questions, however he has no solutions.
The buyers are the victims right here
Eager to seek out out extra about Smith’s remuneration package deal, Findeisen flat out requested:
“How a lot cash did you revenue from SafeMoon?”
Smith claims his work netted him round $2 million. Regardless of reframing the query at varied factors within the interplay, Findeisen signifies Smith held agency on that determine, however there are suspicions that he “profited” way more than $2 million.
Digging deeper across the concept of secret/hidden wallets, Findeisen established that almost all of Smith’s funds got here from the nameless SafeMoon founder, “Kyle.” Carrying on with this line of reasoning, Findeisen probed Smith on the place Kyle was getting the tokens to pay him.
Publically, SafeMoon claimed that bills have been paid for by buying presale tokens held within the “deployer pockets.”
Nevertheless, crunching the numbers reveals that solely 5% of Kyle’s tokens got here from the presale. In keeping with calculations, Kyle acquired roughly 88% of the tokens by dipping into the “locked liquidity pool.”
Smith denied any information of Kyle’s actions and mentioned his position at SafeMoon was that of an worker regardless of the title as he was working underneath a contract by a distinct agency.