Movement Network Spends $38 Million on Token Buyback
On March 24, the Movement Network Foundation revealed that it had recovered approximately $38 million in assets from a market maker. The firm was tasked with providing liquidity for the MOVE token on Binance. However, Binance detected “market irregularities” related to the maker’s activities. As a result, the exchange decided to terminate the partnership and freeze the offending firm’s profits.
According to the announcement, the recovered funds will be used to buy back MOVE tokens, starting from the end of March. The move is aimed at stabilizing the token’s value after recent volatility. The Movement Network Foundation stressed that this is an important step to protect the investment community.
The MOVE token buyback is expected to last until the end of June, according to the announcement from the Movement Network Foundation. The $38 million will be allocated appropriately to avoid causing strong market fluctuations. Binance also pledged to support this process to restore investor confidence. Market makers often play an important role in stabilizing token prices.
This incident shows the management loopholes at some major exchanges. The Movement Network Foundation hopes that the buyback will help the MOVE token regain its growth momentum after the recent unfortunate incident.
