PEPE Creator Could Be Sued In Connection With North Korean NFT Hack

Matt Furie, the creator of the iconic internet meme Pepe the Frog, is facing serious accusations. 

The cartoonist is now being sued over an alleged NFT hack earlier in the year. According to crypto developer Jaggedsoft, Furie and his NFT platform CHAIN/SAW mismanaged the hack in question, which saw more than $1 million in investor funds lost in June.

ChainSaw’s Alleged Cover-Up an NFT platform Hack Raises Eyebrows

Jaggedsoft claims that Furie and his team ignored warnings, hired the wrong developers and then tried to cover up the hack after it happened, instead of informing the community or taking action to recover the funds.

Jaggedsoft didn’t hold back in public statements against Furie. He accused CHAIN/SAW of not only ignoring security advice but also of failing to disclose any risks on their platform before the hack took place.

Over a month ago, Matt Furie’s @ChainSawNFT collections were exploited and became worthless. Both artist and platform failed to attempt to fix or even acknowledge that this had happened. It looks like Matt’s largest collector will now begin legal action. https://t.co/HyA9vJYght

— path.eth 🛡️ (@Cryptopathic) August 4, 2025

“They ignored all warnings, hired incompetent people, and tried to cover up the hack after $25+ million was raised,” he claimed.

He also stated that after the breach, no efforts were made to reimburse affected investors or explain what went wrong. 

According to Jaggedsoft, when he threatened legal action, a co-founder of CHAIN/SAW responded with intimidation, which only strengthened his resolve to go public.

Who Is Jaggedsoft and Why Does His Voice Matter in the NFT and Cypto Space?

Jaggedsoft is a respected developer in the crypto space. He built and maintains a widely used PHP library that interfaces with the Binance API. This tool helps thousands of developers create trading bots, automate strategies and access real-time market data.

His experience in both API development and crypto security gives his claims some credibility.

Jaggedsoft also happens to be one of Matt Furie’s biggest collectors and owns many of the Pepe NFTs produced through CHAIN/SAW. That makes his disappointment feel personal. 

In his own words, he initially had no intention of dragging Furie into this, but the lack of transparency left him no choice.

I’m done with NFTs. 💢
Most of Matt Furie’s collections are now worthless. There’s no effort to fix it, no accountability, no handoff to the community—nothing. CHAIN/SAW let this happen. I’ve seen plenty of scams in crypto, but I’ve never seen a project abandon its supporters…

— jagged (@jaggedsoft) August 4, 2025

The North Korean Connection

The NFT hack itself, according to multiple reports, may have been the work of North Korean hackers. While not confirmed, this is especially troubling considering the country’s long history of targeting crypto assets.

Hackers from groups like Lazarus have stolen billions from the Web3 space in recent years. While it’s unclear if Lazarus was behind this attack, Jaggedsoft says that CHAIN/SAW failed to perform proper vetting or use basic protective measures, both of which are mistakes that made the attack possible.

If these allegations are true, it could become one of the most avoidable NFT failures of the year.

Silence From Matt Furie and Chainsaw

What makes this situation worse is the lack of communication from the parties involved.

CHAIN/SAW has not posted anything on X (formerly Twitter) since before the hack in June. Matt Furie has remained publicly silent as well.

Jaggedsoft says that he plans to invoke consumer protection laws and sue for fraud. His main argument is that CHAIN/SAW never issued a proper risk disclosure and that its silence after the hack is suspicious behaviour.

He believes this isn’t just bad management, it’s a breach of trust that needs legal consequences.

In his words:

“I didn’t want to involve Matt. He did great art. But he’s also responsible for what happened.”