Coinbase Pulls MOVE Token from Trading Amid $38M Sell-Off Scandal
Major U.S. Exchange Delists Movement Labs’ Token as Investigation Unfolds
Coinbase has announced it will suspend trading of the MOVE token on May 15, citing noncompliance with its listing standards—a move that sent the token’s price tumbling by 14.5% in just 24 hours.
The token, issued by Movement Labs and powering the Movement Network’s layer-2 blockchain, will no longer be available on Coinbase, Simple and Advanced Trade, Coinbase Exchange, or Coinbase Prime. Trading has already been shifted to limit-only mode, where users can place and cancel orders, but no new market orders will be accepted.
A $38 Million Dump and a Dual-Role Broker
Behind this abrupt delisting lies an unfolding controversy involving a $38 million sell-off connected to the token’s launch in December 2024.
An independent probe, currently underway by cybersecurity firm Groom Lake, is examining an agreement allegedly orchestrated between Movement Labs and Web3Port, a market-making firm. According to a CoinDesk report, the deal gave over 66 million MOVE tokens to an entity named Rentech—a firm allegedly acting both as a Web3Port subsidiary and as an agent of the Movement Foundation.
That dual role has raised serious concerns about transparency and insider arrangements. Following the launch, Rentech reportedly dumped the tokens, crashing the price and triggering massive downward pressure.
MOVE Token Struggles Post-Launch
Since early January 2025, the MOVE token has faced persistent price erosion. At the time of writing, it’s trading around $0.20, far below its launch price, signaling a lack of confidence among investors.
The Movement Network Foundation has confirmed the ongoing investigation, which began April 21, and promises further disclosures. However, with Coinbase pulling support, the token’s future now hangs in the balance.
Coinbase Takes a Stand
The delisting underscores Coinbase’s increasing emphasis on compliance and transparency in its listing process. It also sends a message to emerging protocols that the exchange won’t tolerate unclear tokenomics or opaque partner deals that could harm retail investors.
As the crypto sector evolves, market makers and foundations alike are under pressure to clean up governance and align with global regulatory expectations. This MOVE token scandal may be just the beginning of a broader reckoning in the space.
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