Unchained How MOVE’s Contracts Put a Pump and Dump Into a Legal Agreement - Ep. 828
May 2, 2025
Sam Kessler, Deputy Managing Editor at CoinDesk, uncovers the shocking scandal behind the MOVE token collapse. He discusses how questionable contracts and market manipulation appear to be part of a pump-and-dump scheme, raising serious ethical concerns. Key players' conflicts of interest and dubious dealings come to light, revealing a chaotic environment within Movement Labs. Kessler questions the reliability of their self-investigation and sheds light on the need for regulatory clarity in token launches, ultimately urging for greater market integrity.
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Unusual Token Lending Scale
- Movement Foundation lent 5% of tokens to Web3Port, but that represented 50% of circulating supply.
- This massive concentration is highly unusual and significant for market impact.
Contract Incentivizes Pump and Dump
- Contracts allowed Web3Port to liquidate lent tokens if MOVE token value hit $5 billion FDV.
- This created a direct incentive to pump the token price and then profit from selling tokens.
Contract Negotiation Controversy
- Initial contract drafts were deemed "the worst agreement" by a lawyer and rejected.
- Final signed contracts removed some alarming clauses but still allowed problematic token sales.