Former Pump.fun Employee Arrested in UK Over Alleged $2 Million Theft

Jarret Dunn, also known “STACCoverflow,” is now on bail in the United Kingdom after his recent detention. Dunn, one of the former employees of the Solana-based memecoin startup Pump.fun, was captured shortly after the platform suffered a hack. 

Dunn’s arrest followed an extensive intelligence operation that monitored his movements through social media and other open sources.

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Dunn Confesses to $1.9 Million Exploit on Pump.fun

On May 16, using the STACCoverflow social media account, Dunn confessed to an attack on the Pump.fun that led to about $1.9 million in losses. Pump.fun confirmed Dunn’s claim and revealed that the former worker used his leverage his position to draw down cash and exploit the protocol.

“At 15:21 UTC, a former employee, having illegitimately taken access of the withdraw authority using their privileged position at the company, used flash loans on a Solana lending protocol.”

Dunn Reveals Details of Arrest and Charges

After he confessed, Dunn tweeted on May 18 that he had been in jail the whole night before. He revealed that Pump.fun had accused him of $2 million theft and conspiracy to the steal an additional $80 million. Dunn said that the company highlighted the total value locked (TVL) as their income in the charges against him. He advised users to redeem their funds from the site and revealed that Baton Corp is the corporate name of Pump.fun.

Reports also suggested that the police traced Dunn through his online presence. His Instagram post revealed that he was in London and the timing of his posts on his STACCoverflow account also coincided with his apprehension.

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Dunn Discusses Health Issues and Bail Conditions

After being granted bail, Dunn said he was in a hospital being treated for mental health issues and he may not be well enough to undergo a police interview. However, he is supposed to remain in the United Kingdom until August 16 to report at the police station.

Pump.fun confirmed the exploit in a recent release, stating that the ex-employee was responsible for the attack. The company narrated that Dunn used flash loans from a Solana lending protocol to fraudulently pull out the fund from its protocol. Dunn’s case is still being investigated and legal proceedings are still underway.

Cryptopolitan Reporting by Lawrence Damilola