One day after the token generation event (TGE), the MOVE token is already facing its first major crisis — and it's much more than volatility.🚨☠️🚨
The sudden sale of 66 million Movement (MOVE) tokens for $38 million, shortly after the TGE, triggered an urgent investigation involving possible self-trading, conflict of interest, and market manipulation.
Suspicions fall on the brokerage Rentech, an obscure entity with direct ties to the Movement Foundation and Web3Port — and which is now at the center of a possible corporate fraud scandal.
Binance froze the accounts involved as soon as the movements were detected.
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🕵️ What We Know So Far
Documents obtained by CoinDesk reveal that:
💥• The transaction is linked to a prior market making agreement signed by Movement Labs.
💥• The previously unknown company Rentech reportedly gained significant control over the MOVE tokens through this contract.
The most alarming:
💥• The domain name of Rentech was registered on the same day the contract was signed.
💥• Rentech appears as the official representative of the Movement Foundation and a subsidiary of Web3Port, generating a clear conflict of interest.
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⚠️ A Contract That May Have Fueled Manipulation
The suspicious contract allegedly:
💥• Allowed Rentech to borrow half of the public supply of MOVE tokens.
💥• Authorized the liquidation of assets by Web3Port and the division of profits if the valuation of MOVE reached $5 billion.
These terms raised suspicions that the deal was structured to:
💥• Artificially inflate the price of the MOVE token
💥• Selling coins to retail investors at the height of the hype
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🔍 Internal Investigation and Credibility Crisis
Movement Labs publicly stated that it is investigating whether it was misled into signing the contract, acknowledging the seriousness of the impact on the project's credibility.
Moreover:
💥• The role of co-founder Rushi Manche is being reviewed.
💥• Manche was responsible for presenting and endorsing the contract internally.
In a leaked email, the foundation's lawyer, identified only as Pek, classified the contract as:
“🗣️Probably the worst deal I've ever seen.”
He also warned that the structure 'seemed designed to inflate the price of MOVE before dumping tokens on the market.'
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✍️ Final Reflection
Movement Labs' promise to build a new layer of innovation for Web3 collided, in record time, with the oldest reality of the market: poor governance and hidden interests.
If confirmed, the case could mark one of the first self-trading scandals of the current cycle — and a brutal warning for investors who confuse hype with transparency.
In the crypto world, the code may be open — but the contracts are not always clear.