TL;DR
- Coinbase announced it will suspend MOVE token trading on May 15 after a review found it no longer meets listing standards, sending its price to historic lows.
- Movement Labs suspended co-founder Rushi Manche over market manipulation concerns.
- To regain trust, Movement launched a $38 million buyback program and hired an external audit firm.
The MOVE token, native to the Movement Network, saw a historic crash after Coinbase announced it would delist it from its platform. The price plunged 23% to $0.18, marking a loss of over 50% in just the past month and placing it 84% below its December 2024 all-time high. The exchange explained the decision came after a routine listing standards review, and since May 1, the order book has been in limit-only mode, allowing users to place or cancel orders without executing new trades.
This move also sparked concerns among retail investors who were counting on a swift token recovery after previous downturns. Interestingly, some analysts now view this situation as a strategic long-term buying opportunity, highlighting the potential for future gains if the project recovers.
Internal Crisis And Recovery Measures
The situation worsened when Movement Labs announced the suspension of its co-founder Rushi Manche as it investigates suspicious market manipulation activities that triggered the token dump. Binance had earlier frozen funds linked to an unnamed market maker, later identified as Web3Port, which offloaded 66 million MOVE tokens in December, assisted by the firm Rentech. In response, Movement ended its relationship with the involved market maker and launched a $38 million buyback program to create a strategic reserve aimed at supporting the ecosystem’s stability. This ambitious initiative has been praised by some crypto advocates as a bold step toward restoring community confidence.
External Audit And MOVE’s Future
To strengthen transparency, Movement hired Web3 intelligence firm “Groom Lake” to conduct an independent audit and promised to adopt new governance measures based on the findings. Manche, though suspended, broke his silence, stating that all decisions were made with leadership approval and blamed “shadow actors” for manipulating the process. He also clarified that he never personally sold MOVE tokens or conducted OTC trades, and that all funds raised were used solely for the project’s development.
From a pro-crypto perspective, this case highlights the critical need for stronger governance and transparency, key elements for emerging projects to survive crises and reinforce their standing in an increasingly mature ecosystem. Could Movement rise again as a crypto resilience story? Time will tell.
