The mystery is finally solved. ZachXBT just disclosed insider trading activity on Axiom Exchange, the Y Combinator-backed Solana platform. It was revealed that employees allegedly used internal administrative tools to spy on profitable traders and promote their users with that information. Some people are very disappointed that all these departments have led to it.
We’ve had bigger names like Jane Street get pulled out of billions on manipulation charges, but at the end of the day, it’s just some shady employees doing insider trading in meme coins.
Adam @zachxbt This post was raised to drop a nuclear bomb
Most anti-climactic detections in CT history
He allowed scammers to trade the news and make more money, what a clown.
Maybe focus on the big fish that rule us every day, which takes care of the axiom
– James McAvoy
(@JamesMcavoyJr21) February 26, 2026
DISCOVER: The best crypto previews to watch right now
Axiom Insider Trading: This is what we know
It wasn’t a complicated smart contract fee; it was a simple administrative abuse. According to the investigation, senior business development executive Brooks Bauer and others allegedly used Axiom’s internal “God mode” dashboards to view non-public user data. This includes the history of wallets, linked accounts and trading times. According to reports, Bauer was recorded on audio planning to get $200,000 for an acquaintance by tracking 10-20 specific wallets at a time.
1/ Meeting @WheresBroox (Brooks Bauer), one of many @AxiomExchange employees allegedly abused the lack of access controls to internal tools to search for sensitive user details for insider trading by tracking private wallet activity since early 2025. pic.twitter.com/KwICQMJL1q
— ZachXBT (@zachxbt) February 26, 2026
Basically, they were playing poker while looking at everyone else’s cards. By monitoring successful traders, insiders could supposedly “copy” (imitate trades) or pre-order (pre-purchase) the very users who drive their platform’s volume.
This type of misconduct fits a troubling pattern in the industry; Recently, Terraform Labs sued Jane Street for insider trading, showing that privileged entities taking advantage of their position is becoming a systemic issue.
Discover: 14 best cryptos to buy right now
The ugly truth: Not only manipulation, but also privacy is at risk
Perhaps more alarming than insider trading by this individual is the fact that our data is never truly private. If you trade on centralized DeFi interfaces, you should assume that your data is visible. The Axiom scandal shows that insiders can potentially see user IDs, wallet addresses, and position sizes before entering a public chain. This is a massive crypto security breach. If you’re a high-volume trader, this exposes you to the predatory mechanics of insider trading that can silently drain your portfolio dry.
But the risk isn’t just digital. As we noted earlier with the Binance employee key attack, the physical security risks of exposed personal data are real. When internal reports create a “who has money” database, that database becomes a target. While projects like Hyperliquid are launching DeFi policy hubs to try and legitimize the space with better standards, incidents like the Axiom scandal are throwing the industry back into the shadows. At this point, the best bet is to assume that if a person verifies your account or creates a dashboard, a person will likely see your trade.
DISCOVER: 5 high-risk cryptos
Follow 99Bitcoins on X for the latest market updates and subscribe on YouTube for daily market expert analysis.
Main roads
-
ZachXBT exposed Axiom Exchange employees allegedly using internal tools for espionage and former users for insider trading.
-
The scandal highlights serious security flaws in decentralized DeFi blockchains, even those backed by Y Combinator.
-
Your business information on these platforms can be visible to employees, posing both financial and privacy risks.
Post-Axiom Exchange Insider Trading Scandal: Is Your Trading Data Being Used Against You? appeared first on 99Bitcoins.
