South Korea’s Financial Watchdog Investigates Coinone Crypto Exchange Over Movement’s Token Sharp Price Swings

A major investigation is underway into Korean crypto exchange Coinone after the price of the Movement (MOVE) token saw a sudden and extreme fluctuation

South Korea's financial regulator is reportedly investigating crypto exchange Coinone over the drastic price swings of the Movement (MOVE) token on its platform, amid concerns over potential unfair trading practices.

According to a report by Korean news outlet MTN on Monday, the Financial Supervisory Service (FSS) is looking into whether there were any unfair trades on Coinone when the price of MOVE surged by 46,000 times higher before quickly crashing back down.

The report states that the massive price fluctuation occurred on Dec. 9, when the Movement Network Foundation announced the token generation event of MOVE — a token built on the Movement blockchain and written in the Move programming language, which was initially created for the Diem project by Facebook's blockchain division.

On the same day, the price of MOVE soared from 215.3 won (around $0.15) to 998,500 won ($697) within minutes on Coinone, before dropping to 5,300 won shortly after, MTN reported. The FSS is now checking whether the exchange followed the correct procedures during this event and if there were any unusual trades.

The regulator is also reviewing how exactly Coinone listed Movement, as the token started trading on the exchange earlier than on other major Korean crypto exchanges like Upbit and Bithumb, raising questions about how the listing process was handled.