BTCC
/
BTCC Square
/
Global Cryptocurrency
/
Movement Labs Faces $50M Lawsuit Over Undisclosed Token Allocations
Movement Labs Faces $50M Lawsuit Over Undisclosed Token Allocations
6
1
Movement Labs, a crypto startup backed by Trump-affiliated World Liberty Financial, is embroiled in scandal after leaked documents reveal undisclosed promises of up to 10% of its MOVE token supply to early insiders. The arrangements, concealed from investors, surfaced in internal memos obtained by CoinDesk.
The revelations raise serious governance questions, particularly around transparency. Movement Labs allegedly allocated large portions of its token supply to advisors prior to launch—a practice that may violate securities disclosure norms. The $50 million lawsuit compounds existing scrutiny over who controls decision-making behind closed doors.
By:
Previous
Senate’s Revised Stablecoin Draft Eases Democratic Concerns, Leaves Consumer Advocates Wanting
Next
House Democrats Demand Trump-Linked Crypto SARs Amid Corruption Concerns
