On-chain Investigator Accuses Axiom Exchange Staff of Insider Wallet Abuse

On-chain investigator ZachXBT has released a detailed report alleging that multiple employees at Axiom Exchangeabused internal access to monitor users’ private wallet activity and profit from insider information.

The allegations have triggered industry-wide scrutiny and immediate response from the exchange.

Core Allegations

According to the report, senior employees, including New York-based Senior Business Development staff member Broox Bauer, allegedly used internal dashboards to access sensitive customer data. This reportedly included private wallet addresses, transaction histories, and linked account information.

ZachXBT claims that this access was used to track so-called “KOL targets,” referring to influential traders who often operate through non-public wallets. The allegation suggests employees monitored these wallets to front-run trades or replicate strategies before they became public.

In recorded conversations cited in the report, Bauer allegedly outlined plans to use privileged access to help accomplices generate fast profits, including a specific scheme targeting roughly $200,000 in gains.

The report further argues that Axiom had minimal internal monitoring and weak access controls in place, despite reportedly generating over $390 million in cumulative revenue.

Axiom Exchange Response

Following publication of the investigation, Axiom Exchange issued a statement saying it was “shocked and disappointed” by the alleged misconduct.

The company confirmed it has revoked access to the internal customer support tools referenced in the report. It also stated that an internal investigation is ongoing and pledged to hold any responsible parties accountable.

Axiom emphasized that the alleged behavior does not reflect the company’s values and reiterated its commitment to user safety.

Market Reaction and Legal Implications

The investigation sparked intense speculation before its release. On Polymarket, traders reportedly wagered over $10 million on which company ZachXBT would name in the exposé. Odds pointing to Axiom reportedly rose sharply shortly before the report became public.

ZachXBT suggested that if criminal conduct is confirmed, the case could fall under the jurisdiction of the U.S. Attorney’s Office for the Southern District of New York (SDNY).

The situation remains developing, with potential regulatory and legal consequences depending on the findings of ongoing investigations.

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