According to CoinDesk, PANews reported on May 17th that the Movement Labs and Mantra incidents have sparked widespread attention to market-making mechanisms in the crypto market. Some executives of Movement Labs were accused of colluding with their market makers to sell MOVE tokens worth $38 million in the open market. Meanwhile, Mantra's OM token plummeted by over 90% within hours in late April without any apparent negative news, raising questions about token unlocking arrangements and over-the-counter trading transparency. Analysts believe these events expose the distorted impact of hidden contracts, non-public agreements, and over-the-counter trades on token supply and price discovery mechanisms. Multiple market-making institutions are reassessing token risk underwriting processes and demanding higher transparency from project teams.
