The group behind the Movement Network stated it is going to use $38 million recovered from a market maker to buy back MOVE tokens over the following three months.
On March 24, the Movement Network Basis said it recovered about $38 million in property from a market maker tasked with offering liquidity on buy and promote orders for the Movement (MOVE) token on Binance.
Binance offboarded the market maker due to “market irregularities.” The change sanctioned the market maker, freezing its proceeds and forbidding it from additional market-making actions.
Market makers provide liquidity to crypto tokens to entice merchants and stabilize their costs. These entities are tasked with offering liquidity on each buy and promote orders to guarantee the graceful operation of crypto exchanges.
Movement Network commits $38 million to token buyback
In accordance to Binance, the market maker offered 66 million MOVE tokens after the token was listed, whereas putting “little” in buy orders. These trades netted the market maker $38 million in Tether (USDT) from their trades.
Binance stated it froze the earnings and knowledgeable the Movement Network Basis of the incident.
The muse stated it had “severed all relationships” with the market maker and had recovered the frozen funds from the market maker’s rogue actions, which it stated it could use in a buyback program:
“All money proceeds recovered from the Market Maker will probably be utilized by the Movement Network Basis to set up the Movement Strategic Reserve: a 38M $USDT buyback program to buy $MOVE for long-term use and to return the USDT liquidity to the Movement ecosystem.”
The group additionally shared a pockets handle for its “Movement Strategic Reserve,” to which the bought MOVE tokens will probably be transferred periodically.
Associated: Binance is not ‘dumping’ Solana and other token holdings — Spokesperson
Binance investigates market irregularities
The incident follows one other Binance motion in opposition to an affiliated market maker on the change. On March 9, Binance introduced that it had offboarded market makers for tasks GoPlus Safety and MyShell. The change stated it had confiscated the challenge’s proceeds and would make a compensation plan for its customers.
Aside from market makers, the change just lately suspended a staff member for alleged insider buying and selling. On March 25, Binance launched an investigation on a member of its Binance Pockets staff after receiving a grievance that the worker had been front-running trades.
Journal: Ridiculous ‘Chinese Mint’ crypto scam, Japan dives into stablecoins: Asia Express
Cointelegraph by Ezra Reguerra Movement Network to buy back tokens with $38M recovered from rogue market maker cointelegraph.com 2025-03-25 10:27:10
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