Crypto Exchange Binance Offloads Market Maker Over $38M Profit on MOVE Listing.

Binance Removes Market Maker After MOVE Token Trading Violation

Binance has offboarded a market maker involved in the trading of Movement’s MOVE token, citing irregular market activity. The exchange stated that the entity had ties to another market maker previously removed from the platform for misconduct.

Market makers are responsible for ensuring liquidity by placing both buy and sell orders, preventing price volatility and facilitating smooth trades. However, Binance revealed that instead of fulfilling these obligations, the market maker placed 66 million MOVE tokens in sell orders a day after the listing while making minimal buy orders. This led to a $38 million profit and was deemed a violation of fair trading practices.

The exchange, which enforces strict market integrity measures, confirmed that it offboarded the entity on March 18. Both Movement Labs and the Movement Foundation were informed of the irregularities. Binance has also frozen the market maker’s proceeds to compensate affected users, with further details to be provided soon.

Binance reaffirmed its commitment to protecting users and warned that any project-authorized market makers failing to comply with its policies would face strict action.

In a separate, unrelated matter, Binance recently suspended an employee following an internal investigation into alleged front-running trades from a prior role at BNB Chain.

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