$BTC Movement Labs has confirmed the suspension of its co-founder, Rushi Manche, following the controversies arising from an agreement with a market maker that he himself had negotiated.
Movement announced Manche's suspension in a post on X on May 2, explaining that the "decision was made in light of ongoing events." The decision follows Coinbase's recent decision to suspend trading of Movement Network (MOVE), citing that the token does not meet its listing standards.
The suspension came after a recently announced third-party review requested by the Movement Network Foundation in an agreement orchestrated by Manche with Rentech; the latter helped negotiate a deal with the market maker Web3Port. The private intelligence company Groom Lake is conducting the investigation.
Subsequently, Web3Port sold the 66 million MOVE it obtained through the agreement, approximately 5% of the total supply. This led to a downward sell pressure of 38 million dollars in December 2024.
Groom Lake has not responded to Cointelegraph's inquiry at the time of publication.
