Movement Labs Scandal: Hidden Market-Making Deals and Token Dumping

Source: CryptoNewsNet Original Title: Most Influential: Rushi Manche Original Link: Before Rushi Manche’s ousting from Movement Labs, the crypto infrastructure startup he co-founded with fellow Vanderbilt University dropout Cooper Scanlon, he was a rising young star in the DeFi world.

But in April 2025, the buzzy project became embroiled in a scandal over hidden market-making deals connected to MOVE’s token launch. Internal documents showed that Movement Labs, under Manche’s leadership, had signed a contentious contract with a little-known intermediary firm, Rentech, which served simultaneously as a supposed subsidiary of the listed market-maker Web3Port and as an agent for the project. That structure gave Rentech control over roughly 66 million MOVE tokens—about 5% of the total supply—which were rapidly dumped on the market.