Binance Bans Market Maker Linked to MOVE Token Manipulation and $38M Profit
Binance has cut ties with a market maker linked to Movement (MOVE) tokens after they made a controversial $38 million profit from a massive sell-off right after the tokens were listed.
Binance has terminated a market maker connected to Movement (MOVE) tokens following the discovery of unethical practices.
The firm, linked to GPS SHELL (Web3Port/Whisper), reportedly sold off 66 million MOVE tokens on December 10, just after their listing. This abrupt sell-off, executed without sufficient buy-side support, enabled the market maker to amass an impressive $38 million in USDT before Binance intervened.
What Transpired?
Upon the listing of the MOVE token, the market maker swiftly liquidated a substantial number of tokens, which led to a drastic and rapid price drop. The absence of adequate buy-side liquidity to effectively counter the overwhelming selling pressure resulted in a significant decline.
An alarming devaluation of the token’s market value! The market maker, however, enjoyed large profits during this period until its eventual expulsion from the trading platform on March 18, 2025, which raised concerns among investors and stakeholders.
Binance, recognized as one of the premier cryptocurrency exchanges, quickly identified the malpractice and acted by banning the offending entity. Reports indicate that this market maker is the same one associated with GPS SHELL (Web3Port/Whisper), which also has ties to ventures like Puffer, UXLINK, and Bitlayer.
Response from Movement Network
In light of these events, the Movement Network Foundation has acted quickly. It severed partnerships with the involved market maker and issued warnings to other exchanges to prevent further manipulation.
To restore confidence and mitigate the fallout, the foundation launched a $38 million buyback plan to reinforce the MOVE token ecosystem. This buyback will occur over the next three months on Binance, aiming to stabilize the token’s price and reassure investors. By repurchasing tokens, Movement Network seeks to reduce excess supply and recover from the sudden sell-off.
This incident has raised concerns about market manipulation in the cryptocurrency space, particularly involving market makers with dubious reputations. Binance’s quick response underscores its commitment to a fair trading environment. However, investor sentiment remains cautious as the crypto industry faces ongoing transparency and regulation issues.
As the Movement Network implements corrective actions and Binance enforces its ban, the industry is closely observing whether MOVE can rebound and restore investor confidence in the coming months.
