HOT MOMENTS: Things Got Messy at This Altcoin – One of the Founders Suspended for “Misconduct”

Movement Labs and the Movement Network Foundation have launched an independent investigation into recent market-making irregularities related to the MOVE token.

The investigation follows Binance’s decision last month to remove an unnamed market maker from its platform over what it described as “irregularities” related to MOVE, the native token of Movement Network.

A spokesperson for Movement Labs confirmed the investigation, describing it as a standard third-party review aimed at ensuring “full transparency and accountability.”

“The Movement Network Foundation is conducting a third-party review following recent market maker anomalies, which is a standard best practice to ensure full transparency and accountability,” the spokesperson said. “It would be inappropriate to speculate on the outcome of the review or any actions that may or may not result. Operations are continuing as normal while the review is conducted.”

Internal Slack messages reviewed show Movement co-founder Cooper Scanlon telling colleagues that “various avenues are still being explored” and that “nothing is definitive yet.” The identity of the external firm conducting the review was not disclosed.

Amid the ongoing investigation, Movement Labs co-founder Rushi Manche has reportedly temporarily left the company. Sources say Scanlon announced the move during a meeting on Monday, and Manche did not attend an internal event in San Francisco last week.

Despite the news, Manche says he’s still actively involved with Movement Labs. “I’m still in Movement Labs,” he said Monday, adding that he’s been participating in “ecosystem calls all week.” His Slack account, which went inactive late last week, was reportedly reactivated Monday evening. On X, Manche shared that he and Scanlon host “weekly ecosystem syncs” with developers.

The investigation by Movement Labs comes weeks after Binance agreed to an internal review of MOVE’s market activities, resulting in the delisting of a market-making entity due to “irregularities.” Binance has not publicly named the entity, while Movement Labs has also declined to identify the party involved.

*This is not investment advice.

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