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MOVE token faces significant turbulence following the suspension of co-founder Rushi Manche amid investigations into market maker misconduct.
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Coinbase’s recent delisting of MOVE and allegations tied to a market maker scandal involving 66 million tokens have triggered considerable price shifts.
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Despite Manche’s claims of ongoing involvement, his suspension raises concerns over the stability of the Movement Labs ecosystem.
The MOVE token’s value plummets by 22% following co-founder Rushi Manche’s suspension amid serious market maker investigations, casting doubt on Movement Labs’ future.
Movement Labs Co-founder Rushi Manche Suspended Amid Scandal
In light of Coinbase’s announcement regarding the delisting of the MOVE token, Movement Labs has taken the drastic step of suspending co-founder Rushi Manche as part of ongoing market maker investigations.
“We confirm that Rushi Manche has been suspended from Movement Labs. This decision was compelled by ongoing events as the third-party review by Groom Lake addressing organizational governance continues,” the company stated.
The issues were initiated by a market maker scandal involving Web3Port, which allegedly dumped an astonishing 66 million MOVE tokens, resulting in a 20% decline in the token’s price.
Additionally, Binance has penalized a market maker associated with Movement due to trading regulation breaches, freezing the entity’s profits amidst rising scrutiny.
Interestingly, Movement Labs has initiated a third-party investigation into the alleged misconduct of market makers related to the MOVE token, which coincided with Manche’s unexpected leave from the project. Despite this, Manche disputed reports of his departure.
“I’m very much still at Movement. I missed the company offsite because I was attending the Web3Festival in Asia,” Manche commented on X.
Manche reiterated his engagement in ecosystem calls on Slack, despite temporary concerns about his account status. This suspension raises questions regarding liquidity partner vetting processes and casts uncertainty over the future of the Movement ecosystem.
Key voices, such as Mike Dudas, co-founder of The Block, raised pertinent questions relating to involvement: “How about Sam Thapaliya?”
Sam Thapaliya, head of Zebec Protocol and longtime acquaintance of Manche and Cooper Scanlon, has been under scrutiny for his advisory role in the launch of the MOVE token. His association with a controversial market-making agreement has highlighted potential systemic issues within the Movement Labs framework.
Rushi Manche Promises Clarity Amid Controversy
Although he hasn’t fully addressed the implications of his suspension, Manche has expressed a desire to clarify his position regarding recent events.
“…lots of rumors circulating and internal drama. I’m eager to start clearing up the narrative and reveal the truth,” Manche declared in a recent post.
In his communication, Manche implicated “opportunistic administrators” acting as quasi-decision-makers within the foundation, suggesting they have misled colleagues.
“These representatives are the ones brokering deals and managing financial treasuries, making decisions discretely while others bear the consequences,” he added.
In light of the ongoing turmoil, Manche strongly advised founders to collaborate with reputable firms that align with the project’s vision, stating that Movement Labs had considerably strayed from its core mission.
It remains uncertain whether his precise remarks prompted the suspension, as Manche had not responded promptly to inquiries from COINOTAG. Notably, the anticipated MOVE airdrop scheduled for April 30 was delayed.
“The Movedrop is delayed again; what a fiasco. The announcement timing was especially unprofessional,” one disgruntled user remarked.
As doubts over the Movement Network’s credibility grow, the MOVE token has witnessed a staggering 22% decrease in value just within 24 hours, trading approximately at $0.20 in the wake of the Coinbase delisting.
Conclusion
The current trajectory of the MOVE token amid the suspension of Rushi Manche reflects deeper structural issues within the Movement Labs framework. This unfolding scenario serves as a warning to the crypto community about the importance of governance and accountability within blockchain projects.
