Binance Suspends Employee for Insider Trading, Penalizes Market Maker for MOVE Token Manipulation

Binance has taken firm action against internal misconduct and market irregularities linked to the Movement’s MOVE token.

Binance, the leading cryptocurrency exchange, has taken action against internal misconduct and market irregularities linked to the Movement (MOVE) token.

The exchange has suspended a staff member for insider trading and penalized a market maker involved in manipulative trading practices.

The incident of insider trading unfolded on March 25, with Binance confirming the suspension of an employee who engaged in front-running trades using privileged information.

The individual previously held a business development role at BNB Chain, granting them access to sensitive details, including upcoming token launches.

Aware of a project preparing for its Token Generation Event (TGE), the employee purchased a large amount of tokens through several wallet addresses.

Following the launch, they sold some tokens to realize early gains while retaining a sizable portion with unrealized profits.

In response, Binance is applying disciplinary measures, suspending the employee and initiating a formal investigation. The exchange is also cooperating with authorities for possible legal action.

Furthermore, Binance is intensifying internal controls and adjusting its policies to mitigate the risk of similar behavior in the future.

The platform also urged users to report any unethical actions through its whistleblower portal.

Highlighting its commitment to combating misconduct, Binance announced the distribution of a $100,000 reward to four whistleblowers who provided valid reports on this case.

The market irregularities involved an unnamed market maker and their actions related to the MOVE token.

This entity, now banned from Binance, was found dumping approximately 66 million MOVE tokens on December 10, 2024—a day after the token's launch—with minimal or no buy orders being placed.

By the time the account was removed from the platform on March 18, 2025, it had amassed an estimated $38 million in profit, with Binance freezing the earnings and barring the market maker from further activity.

The incident was reported to Movement Labs and the Movement Foundation, both of which were initially unaware of the misconduct.

In response to the incident, the project has decided to sever ties with the involved party and compensate affected users by repurchasing MOVE tokens using the $38 million already recovered.

The buyback period will span the next three months on Binance, with the repurchased tokens being transferred to the Movement Strategic Reserve.