tl;dr
Jaggedsoft, creator of the Binance API and major collector of Matt Furie’s NFT art, plans legal action following a $1 million hack of the ChainSaw NFT platform by North Korean hackers in June. He alleges Matt Furie and ChainSaw mismanaged the breach, failed to address investor losses, and engaged in...
Jaggedsoft, creator of the Binance API and the largest collector of Matt Furie’s NFT art, is planning legal action following a $1 million hack of the ChainSaw NFT platform by North Korean hackers in June. He alleges that Matt Furie, creator of Pepe the Frog, and ChainSaw engaged in mismanagement and willful negligence, failing to address investor losses and community concerns after the breach. This lawsuit aims to invoke consumer protection laws on grounds of fraud.
Pepe the Frog, a well-known internet meme symbol, entered the Web3 space recently with Matt Furie pivoting to NFT creation. However, after the North Korean hack compromised the project, Furie and ChainSaw faced criticism for their lack of communication, remaining silent on social media since the incident. Jaggedsoft’s frustration grew over this perceived inaction, driving his decision to pursue the case.
While North Korean hackers, particularly those linked to the Lazarus Group, are notorious for major crypto heists, Jaggedsoft argues that the vulnerability stemmed from internal missteps rather than just external attacks. He highlights the absence of risk disclosure on ChainSaw’s platform and accuses both Furie and ChainSaw of deceptive behavior and a botched coverup, framing this as a clear issue of consumer fraud.
Jaggedsoft expressed strong emotions about the situation, stating a readiness to litigate despite threats meant to dissuade him. He emphasized the importance of combating bad actors within the crypto space to protect investors and restore trust. Although no formal lawsuit has been filed yet, the community has shown significant support for his intent to hold those responsible accountable.
The controversy underscores broader issues in the NFT and crypto markets regarding platform security and transparency. The hack itself is overshadowed by the inadequate response from ChainSaw, which failed to assess security weaknesses or reimburse affected investors promptly—a failure that Jaggedsoft suggests could have prevented much of the fallout.