Token Pocket Executive Says Leaked Seed Phrase Fueled Meme Coin $1 Pump and Dump

A leaked seed phrase tied to a Robinhood founder was allegedly used by hackers to seize control of an address and drive a rapid surge in the meme coin $1, according to a post by Token Pocket Chief Business Officer Michael. According to ChainCatcher, the hackers used the compromised address and related addresses to buy large amounts of $1, prompting thousands of investors to follow in a short period and pushing the token’s market capitalization from about $500,000 to $14 million. Michael said the token later fell sharply, while trading volume reached about $20 million within two hours. After the related address was frozen, the hackers reportedly moved to BNB Chain, issued a new token using the same address cluster, and generated activity through self-trading before selling to cash out. He added that Robinhood’s RPC has frozen the address by preventing nodes from packaging transactions sent from it, meaning the address cannot transfer funds or trade.