Binance has taken decisive action against a market maker linked to the Movement (MOVE) token after identifying misconduct related to the token’s trading activity.
The exchange revealed that the market maker in question was associated with another entity previously been offboarded due to malpractice.
66 Million MOVE Token Sale
The market maker allegedly sold approximately 66 million MOVE tokens on December 10, 2024, just one day after the token’s listing, without placing significant buy orders.
This resulted in a net profit of $38 million USDT before Binance removed the entity on March 18, 2025.
In response to these findings, Binance has informed the Movement Network Foundation and Movement Labs about the irregularities, frozen the proceeds obtained by the market maker, and permanently banned the entity from further trading activities on the platform.
Following Binance’s investigation, Movement Network has announced a $38 million buyback program. The program will utilize the recovered funds to stabilize its ecosystem and restore investor confidence.
Over the next three months, the repurchased tokens will be deposited into the Movement Strategic Reserve to reinforce long-term stability.
Movement Network’s Response and Buyback Initiative
Movement Network Foundation maintains that it was unaware of the market maker’s actions and was only informed of the misconduct by Binance on March 11, 2025.
The foundation had engaged the market maker based on its prior track record but acted swiftly to sever all ties upon discovering the breach of agreement.
The firm also contacted other major exchanges to notify them of the investigation.
The foundation is committed to full transparency. It announced that all recovered proceeds will be used to execute a structured $38 million USDT buyback of MOVE tokens.
This buyback will take place exclusively on Binance over the next three months, with the repurchased tokens periodically transferred to an on-chain wallet designated for the Movement Strategic Reserve.
The foundation emphasized its dedication to maintaining a fair and transparent market while continuing to build a sustainable blockchain ecosystem.
Despite the setback, Movement Network remains resilient. The blockchain, which enables the seamless deployment of high-performance MoveVM rollups interoperable with Ethereum, has garnered strong institutional backing.
Investors such as Polychain Capital and Binance Labs continue to support the network, which boasts over $250 million in total value locked (TVL) and a $1.1 billion market capitalization.
The Movement Network Foundation reassured its community that its vision and technology remain unchanged.
Notably, following the Binance announcement, MOVE token has plummeted over 2.5hrs in the past hour.
Source: CoinGecko
Market Integrity Concerns and Binance’s Broader Growth
The MOVE token controversy unfolds amid broader concerns regarding market integrity in the crypto space.
Binance Wallet recently suspended an employee for allegedly using insider information from a previous business development role at BNB Chain to front-run a Token Generation Event (TGE).
The employee reportedly leveraged non-public data to buy tokens through multiple linked wallets before the public announcement, later selling a portion for significant profits.
Binance Wallet clarified that it had no direct ties to the project and emphasized that the employee’s actions violated company policy.
Binance Wallet has pledged to cooperate with authorities in the employee’s region and pursue legal action under local regulations.
Meanwhile, Binance has also secured a significant $2 billion investment from MGX, an Abu Dhabi-based AI and advanced technology investor.
This development particularly indicates a continued institutional confidence in Binance’s long-term vision despite recent regulatory and operational challenges.
As it stands now, the Movement Network is in the process of its token buyback, and there might be no reconsideration as Binance is still standing firm on its commitment to enforcing transparency and accountability.
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