Mantra (OM) and movement laboratories (movement) token scandals shake crypto market production

Two of the most chaotic bubbles of the annual movement scandal from Movement Labs and the collapse of Mantras OM-Schicken Shock waves by the market production of Crypto.

In both cases, rapid price accidents showed hidden actors, questionable tokens and alleged incidents that have blinded the market participants, with OM back more than 90% due to an obvious catalyst within hours.

In contrast to traditional finances, in which market manufacturers offer proper BID-AS spreads for regulated venues, crypto market manufacturers often appear more like melachments with high stakes.

They don't just quote prices; You negotiate before starting token allocations, accept lock, structure liquidity for centralized exchange and sometimes equity or advisory measures.

The result is a dark space in which the liquidity regulations with private offers, tokenomics and often insiders are involved.

At the end of April, a Coindesk exposé showed how some Movement of Labs have worked with their own market manufacturer to remove the move of 38 million US dollars on the open market.

Now some companies are wondering whether they are too loose to trust counterparties. How can you secure a position when token locks are of schedules and opaque? What happens when Handshake offers DAO -suggestions override?

“Our approach now comprises more extensive preliminary discussions and educational meetings with project teams to ensure that they understand the market mechanics thoroughly,” said Metalpha's metalpha-based metalPha department in an interview with Coindesk.

“Our deal structures have developed to highlight the long-term strategic orientation through short-term performance metrics and to include specific protective measures against unethical behavior such as excessive token dumping and artificial trading volume,” it said.

The talks tighten behind the scenes. The terms and conditions are checked more carefully. Some liquidity switches evaluate the realization of the way you sign the token risk.

Others demand stricter transparency – or go away from cloudy projects.

“Projects no longer accept respected calls to the nominal value after you have seen how even established players can take advantage of shadow allocations or have to exercise harmful sales practices,” said Metalphas Head of Web3 Ecosystem Max Sun. “The era of alleged trust is closed,” he said.

Under the polished surface of token starting and market production, there is another level of cryptofinancing and secondary OTC market, in which locked tokens change well before the cliffs were geared towards the public.

These shops under the table, which often come between early supporters, funds and syndicates, are now distorting the dynamics of the offer and the discharge of boosting, some retailers say. And for marketmakers who are commissioned to provide decent liquidity, they become an increasingly opaque and dangerous variable.

“The secondary OTC market has changed the dynamics of the industry,” said Min Jung, Analyst at Presto Research, which runs a market make-up unit. “If you look at suspicious price campaigns, such as $ layer, $ om, $ move and others – you are often the most active on the secondary OTC market.”

“The entire supply and vesting time plan has been distorted due to these off-market offers, and for liquid funds there is a real challenge to find out when the supply is actually unlocked,” added Jung.

In a market in which Price fiction and offer are negotiated in rear rooms, the real risk for traders is not volatility – it is of the opinion that the swimmer is what the white paper and the founders say that it is.

Read more: Movement Labs secretly promised millions of millions in tokens, showed through documents that are leaked through