💥Movement Labs has suspended co-founder Rushi Manche following a scandal related to the liquidation of 38 million MOVE tokens, stemming from an agreement with Web3Port, which holds up to 66 million tokens.
Manche is known to have played a strategic role in the project's partners and operations, but there has been no official statement from him yet.
The incident caused the MOVE price to plummet, severely impacting liquidity, forcing Coinbase Assets to temporarily halt token trading. TVL and market confidence have also declined.
The incident has raised concerns about token allocation strategies, a lack of transparency with market makers, and the urgent need for clearer governance in Web3 projects.
