What Are the Biggest Security Risks Facing PEPE Coin in 2025?

Smart contract vulnerabilities expose PEPE to potential $1 million+ losses

Recent incidents have exposed significant vulnerabilities in PEPE token's smart contracts, leading to substantial financial losses. The most notable case involved a phishing scam that exploited Uniswap's Permit2 feature, resulting in a staggering $1.39 million loss for a single PEPE holder. This event underscores the critical importance of robust security measures in smart contract design and implementation. Additionally, projects associated with Pepe meme creator Matt Furie and NFT studio ChainSaw suffered approximately $1 million in losses due to contract takeover exploits. These incidents highlight the ongoing challenges in securing digital assets and the need for enhanced vigilance in the cryptocurrency space. The following table illustrates the major losses:

These security breaches not only result in immediate financial losses but also erode trust in the PEPE ecosystem. As the cryptocurrency market continues to evolve, it is imperative for developers and project teams to prioritize security audits, implement robust fail-safes, and educate users about potential risks to mitigate future vulnerabilities.

Increased centralization risks as exchanges hold over 50% of PEPE supply

The PEPE token has experienced a significant shift in its distribution, raising concerns about centralization risks. As of 2025, exchanges have accumulated over 50% of the total PEPE supply, potentially compromising the decentralized nature of the cryptocurrency. This concentration of tokens in the hands of a few entities poses several risks to the ecosystem.

The largest PEPE holder, identified as wallet '0xd9', controls a staggering 50 trillion tokens. This level of concentration gives substantial market influence to a small number of players, potentially allowing them to manipulate prices and trading volumes. The situation is further exacerbated by the fact that the top 100 wallets control over 72% of the total PEPE supply.

This centralization trend has led to increased volatility in PEPE's value. For instance, in October 2025, PEPE experienced a significant downturn, shedding nearly 25% of its value in just a few weeks. This price movement highlights the vulnerability of the token to large-scale transactions or decisions made by major holders.

The centralization of PEPE tokens in exchanges also raises questions about the long-term stability and decentralization goals of the project. As more tokens are held by centralized entities, the risk of market manipulation and potential regulatory scrutiny increases, potentially impacting the future prospects of PEPE in the cryptocurrency ecosystem.

Rising phishing attacks target PEPE holders, with $135,000 lost in a single incident

In 2025, the cryptocurrency world witnessed a surge in phishing attacks targeting PEPE token holders, with one incident resulting in a staggering loss of $135,000. This alarming trend highlights the growing sophistication of cybercriminals in exploiting vulnerabilities within the crypto ecosystem. The incident involved a malicious "increaseAllowance" transaction, which tricked the victim into granting excessive permissions to the attacker's wallet.

The rising frequency of such attacks is evidenced by the increasing costs associated with phishing-related data breaches. The following table illustrates the severity of the situation:

This significant financial impact underscores the urgent need for enhanced security measures and user education within the cryptocurrency community. Social media impersonation schemes have emerged as a popular vector for these attacks, with fraudsters creating convincing fake profiles and Web3 projects to lure unsuspecting investors.

The PEPE token incident serves as a stark reminder of the risks associated with interacting with unverified smart contracts or granting permissions without thorough scrutiny. As the crypto market continues to evolve, it is imperative for users to remain vigilant and for platforms to implement robust security protocols to mitigate the growing threat of phishing attacks.

FAQ

Can Pepe Coin reach $1 dollar?

Yes, Pepe Coin could potentially reach $1 by 2025. Market trends and growing adoption suggest significant price growth for meme coins.

Is Pepe Coin a good investment?

Pepe Coin offers high-risk, high-reward potential. Its value may surge due to meme popularity and market trends, but volatility is extreme. Invest cautiously.

How much will PEPE be in 2025?

PEPE is expected to reach between $0.00000528 and $0.00000761 in October 2025, with a potential maximum of $0.0000104.

What if I invest $100 in Pepe Coin?

If you invest $100 in Pepe Coin today, it could potentially be worth thousands in the future, based on its past performance and current market trends.