Movement Labs Suspends Co-Founder Amid Market Maker Controversy
Movement Labs has suspended co-founder Rushi Manche amid controversy over a token arrangement that led to the dumping of 66 million MOVE tokens on the market. The suspension follows a third-party review by Groom Lake regarding governance issues and a problematic market-making deal with Rentech, which misrepresented its role and sold all tokens shortly after MOVE's launch. Legal counsel described the contract as potentially the worst they had seen. Binance offboarded the market maker for misconduct related to the token dump, which Movement Labs claimed occurred without their consent. Following Coinbase's announcement to suspend MOVE trading, the token's value dropped 14% to $0.20, marking its lowest point. The community awaits the audit results for clarity on the situation.
