Coinbase has introduced it’s going to delist MOVE amid a $38M token dump controversy.
MOVE worth has hit a file low, down 84% from the December 2024 peak.
Movevent Labs co-founder Rushi Manche has been suspended amid a governance and audit probe.
The MOVE token of the Ethereum-based Motion Community has tumbled to unprecedented depths following Coinbase’s announcement of its imminent delisting on Might 15, 2025.
We recurrently monitor the belongings on our change to make sure they meet our itemizing requirements. Based mostly on latest critiques, we are going to droop buying and selling for Motion (MOVE) on Might 15, 2025, on or round 2 PM ET.
— Coinbase Belongings 🛡️ (@CoinbaseAssets) Might 1, 2025
Within the wake of allegations concerning a $38 million token dump and questionable market-making preparations, the change has positioned MOVE in limit-only mode earlier than deciding it not met its itemizing standards.
The market-making scandal
Coinbase’s choice to droop all new trades got here after inner paperwork revealed that Motion Labs had signed a market-making settlement granting undue affect to a third-party intermediary.
The settlement, tying Web3Port and an obscure agency named Rentech, allegedly supplied Rentech with the appropriate to dump vital portions of MOVE as soon as the token’s totally diluted valuation hit $5 billion.
Shortly after MOVE made its change debut, Rentech executed a speedy sell-off that triggered a precipitous worth collapse, eroding investor confidence inside hours.
Motion Labs responded by establishing a $38 million reserve fund to repurchase the offloaded tokens, however critics have identified that no tangible buyback actions have materialised up to now.
Binance additional escalated the disaster by freezing funds linked to the identical market maker, compounding considerations in regards to the mission’s governance and transparency.
Investigation Findings on Employees Misconduct in Buying and selling
Pricey Binance Customers and Neighborhood Members,
On March 23, 2025, Binance’s Inside Audit group acquired a grievance alleging that one in every of our employees members engaged in front-running trades utilizing insider info to achieve… pic.twitter.com/SVVvu4rX1x
— Binance Pockets (@BinanceWallet) March 25, 2025
Amid these developments, Motion Labs suspended co-founder Rushi Manche on Might 2 whereas an unbiased assessment led by intelligence agency Groom Lake stays ongoing.
We verify that Rushi Manche has been suspended from Motion Labs. This choice was made in mild of ongoing occasions and because the third-party assessment remains to be being performed by Groom Lake concerning organizational governance and up to date incidents involving a market maker.
— Motion (@movementlabsxyz) Might 2, 2025
Manche has publicly distanced himself from the token dump, claiming unhealthy actors manipulated agreements behind the scenes and rejecting any private involvement in off-market gross sales.
Regardless of these assurances, the sudden management upheaval solely deepened the aura of uncertainty surrounding MOVE’s strategic path and governance reforms.
MOVE token hit exhausting
Following Coinbase’s Might 1 limit-only discover and the formal delisting announcement, MOVE’s worth plunged by over 20% to an all-time low close to $0.18, earlier than rebounding to $0.1985 at press time
Supply: CoinMarketCap
The token is buying and selling greater than 86% under its December 2024 peak of $1.45, illustrating how project-specific turmoil can eclipse broader market rallies.
At press time, MOVE’s market capitalisation stood at roughly $496.27 million, with a staggering 398.04% spike in 24-hour buying and selling quantity and a volume-to-market-cap ratio exceeding 116.66%.
The token’s circulating provide of two.5 billion MOVE and a complete cap of 10 billion have drawn consideration to potential sell-pressure vulnerabilities amid skinny liquidity.
Technical indicators supply little respite, as each the Relative Power Index (RSI) and the Transferring Common Convergence Divergence (MACD) proceed their descent with out signalling any bullish divergence or imminent reversal.
In Elliott wave phrases, MOVE seems to be within the prolonged fifth wave of its downward cycle, suggesting additional draw back could possibly be reached if the 1.61 extension goal of $0.136 is met.
Neighborhood sentiment has soured markedly, with Telegram discussions oscillating between reduction at avoiding additional losses and outright accusations of yet one more crypto rip-off.
A Motion Community Basis spokesman emphasised that the suspension was not everlasting and that talks with Coinbase are ongoing, aiming to revive buying and selling if requirements are met.
Nevertheless, the delay of the promised MoveDrop airdrop and the absence of a concrete timeline for the strategic reserve’s deployment have left many token holders sceptical.
With holders numbering roughly 33,850 and the totally diluted valuation nonetheless hovering close to $1.98 billion, stakeholders face a steep uphill battle to regain belief.
As Motion Labs navigates governance audits, buyback pledges, and potential reinstatement on main exchanges, MOVE’s future hinges on clear accountability and tangible remediation.
Solely by addressing the structural flaws uncovered by the market-making scandal and delivering on restoration commitments can Motion hope to salvage its token’s credibility and worth.
