Blockchain investigator ZachXBT has made serious allegations against high-risk trader James Wynn, accusing him of hypocrisy and deceptive trading practices. The controversy arose when Wynn publicly condemned scam tokens launched in his name, claiming that a group known as “the cabal” was exploiting his identity for fraudulent projects.
However, ZachXBT pointed out that Wynn had previously engaged in similar pump-and-dump tactics with memecoins, calling into question his ethical standards. The investigator accused Wynn of profiting from unethical deals on Hyperliquid while publicly denouncing such behavior.
James Wynn, a self-proclaimed high-risk leverage trader, has gained significant attention in the crypto community for his bold trading strategies on Hyperliquid. His billion-dollar trades on both long and short sides of the market have propelled him into the spotlight, with data showing that he has generated substantial profits on the platform.
Despite positioning himself as a defender of decentralization and ethics, Wynn has faced past allegations of questionable practices. In 2024, he was accused of requesting private allocations in the BabyPepe token in exchange for helping the coin reach a high valuation. Similar allegations have surfaced regarding other low-cap tokens linked to his identity, raising concerns about his trading practices.
Furthermore, Wynn has been associated with Alameda Research, the defunct crypto market-making arm of the failed FTX exchange. Activist Sunil Kavuri has suggested that Wynn may have benefited from insider tips, pointing to early capital he received from Alameda in 2020. These allegations have cast doubt on Wynn’s reputation and raised questions about the transparency of his trading activities.
In light of these controversies, it is essential for investors to exercise caution and conduct thorough due diligence before engaging with traders like James Wynn. The crypto industry is still rife with risks, and individuals should be vigilant against potential scams and deceptive practices. By staying informed and remaining skeptical of high-risk trading strategies, investors can better protect their assets and navigate the volatile crypto market with greater confidence.