### Zed.Run Insider Trading Concern

Hey Chris, 

Sincerely apologize we are meeting over email like this. Was never my intention to start a witch hunt or angry mob. My intention was to try and reach out to a well respected data analysis person that could help look into the issue I found. 

In fact, I'm quite the Zed maniac and have spent around $100k buying genesis horses. I absolutely love what you have built and want to see the fruits of the teams' labor be seen by the world. I see Zed as the future of gambling, horse racing, and video gaming and I am proud to tell everyone I meet about your company.

I want you to know that I'm not trying to convince anyone that what I have found is damning evidence, but I think there is overwhelming trails of details that something sketchy is going on. And in my honest opinion I do think there was insider trading.

It's not just underpaying or overpaying, it's the visibility issue; A person with a horse of Sentinel's caliber usually screams off the rooftops - a person who gets a horse like this 99.99% of the time, buys 10 more. There are just lots of little trails leading to possible inside information leaked. 

# ****What I Found:****
* I never said it was a Zed employee. It could be someone who found ZED data they weren't supposed to. It could be someone that hacked ZED's database, etc.I believe someone gave the current owner only the name of the horse. (I realize this is just an accusation with nothing to stand on).
* **Think about it like this:**
* If I have insider information on a stock - I'm only going to tell you: "hey that company looks like an amazing buy.... *wink* *wink*" I'm not going to give you all the information in case of an audit. Only enough to guide you.Wallet only has 2 transactions 1 giving the 12 ETH to the wallet The other buying the horse: Sentinel

# **Transaction to user's wallet:**

* If you look on Etherscan at the origin address: 0x937cDC9E86BA06AA5aaea221017A1d9FC7F59EFd
* You can see large in transactions in batch and payout transactions that are smaller to individual wallets. Some of those large in transactions are tagged with FTX exchange. It's a pretty classic exchange withdraw pattern to have a withdraw address that is occasionally populated with a batch transaction from a main exchange wallet and then paid out to individuals in smaller amounts when they withdraw. And just the fact that the address is paying out to so many different individuals (some with their ENS domain name also tagged) that it's clearly a crypto service and not an individual. Also the FTX tags give away that it's very likely FTX as the service provider.

# ****The Horse:****
* Sentinel was bought on October 19th for 11.6 ETH 
* Sentinel is a Z2 Genesis.
* The horse was bought - Unraced and Unbred
* Double confirmed this with the KYH team
* 11.6 ETH is very expensive for this time frame

# ****Time frame facts:****

* Front Line - Z2 genesis filly unbred unraced sold on October 19th for 8 ETH
* Flash Gordon - Z2 genesis colt unraced unbred sold on October 25th for 6.5 ETH
* Mariano - Z2 genesis filly unraced unbred sold on October 9th for 9.5 ETH
* Comb Over - Z2 genesis filly unraced unbred sold on October 9th for 9.5 ETH
* Unequivocal - Z2 genesis stallion sold for 7.2 ETH on September 30th
* Original Visual - Z2 Genesis filly unraced unbred sold on September 29th sold for 7 ETH
* Mozilla - Z2 genesis colt unraced unbred sold on Oct. 1 for 7.4 ETH

List of horses sold above and their horse ID's:
* Front Line - 24238
* Flash Gordon- 28472
* Mariano - 23458
* Comb over - 13434
* Mozilla - 23289
* Unequivocal- 23514
* Original Visual - 13109

Sentinel was listed by the Zedrun.tools website owner. They listed their ponies at double/triple what the current prices were for nakamoto genesis. See screenshot below of listing and bids:




***The chart below illustrates all the unraced Z2 genesis colt sales in USD - Sentinel is nearly the most expensive of all time.***


* Current owner of sentinel paid double (4-6 ETH) what the current market listing price was for a Z2 genesis unraced unbred colt.
* Users were buying Unraced, Unbred Z2 genesis filly's for 8 ETH. It is known the market values females higher than males by at least 1.2x - 1.5x.
* The user: rootednft made an offer of 11 ETH
* That offer was not accepted and user then placed 11.6 ETH bid
* This was the **ONLY bid AND activity this user has done on opensea.** 

# ***Questions to ask yourself***
* Why would someone not just buy a Z2 genesis Unraced Unbred that is listed at 6 ETH?
* Why wouldn't their first bid on the horse match the markets average listing prices?
* Why not place more bids on other horses?
* Why not buy 2  - Z2 Genesis Horses and have a better chance of getting a racer?
* Moreover - why wouldn't they just buy a Z1? They had enough to buy 1 see screenshot of prices of Z1's during that time period below:
* If you owned Sentinel would you be screaming from the rooftops?
* Would you buy a female horse to breed with Sentinel?
* Would you buy more horses, or stop?
* I will reiterate what I said earlier: A person with a horse of Sentinel's caliber usually screams off the rooftops - a person who gets a horse like this 99.99% of the time, buys 10 more. There are just lots of little trails leading to possible inside information leaked. 


* From the chart above it looks like there were a couple around 12/13 ETH

There’s no doubt in my mind this person knew exactly what they were doing (again, I realize this is an accusation). They loaded up their account with 11.9 ETH probably 12 but 11.9 after gas and conversion.

To me Those two bids really stand out - 11 ETH and then a second bid of 11.6.

--> ****Everyone knows It’s a massive risk to bid retail on an unraced horse when the current owner can just put it into a griffin at any second.**** So if the horse is glue and you just put a bid 11 ETH you’re out 8 ETH. Well this person went a step farther and put an even higher bid on it. This isn't the only horse I've found like this. There are a couple others as well - Fairy Dancer is 1.