RAVE Token Plunges 90% in 24 Hours Amid Exchange Investigations

A drastic 90% decline in RAVE token's value occurred within a 24-hour period, triggered by investigations into alleged market misconduct by crypto exchanges Binance and Bitget, which had propelled the token to a $6 billion market capitalization the previous week. The investigation, confirmed by Bitget CEO Gracy Chen and Binance co-CEO Richard Teng, was prompted by on-chain analyst ZachXBT's allegations, which also implicated Gate.io. ZachXBT has offered a $25,000 reward for any information regarding the parties involved. Despite RaveDAO's denial of any wrongdoing, the token's value continued to plummet. The project's statement on X failed to address specific allegations, including the concentration of 90% of the token supply in three Gnosis Safe multi-signature wallets and the transfer of millions of tokens to exchanges prior to the rally. The initial surge in RAVE token's value, which saw it rise from $0.25 to $27.33 in nine days, resulted in $44 million in liquidations, primarily from short sellers. Investigators have identified a 'bait and liquidate' pattern, where token transfers to exchanges were followed by price increases, forcing short sellers to cover their positions at a loss. RaveDAO, a Web3 entertainment platform, reported $3 million in revenue in 2025 and has partnerships with several major crypto companies. The project has announced plans to liquidate unlocked tokens to fund operations and marketing, and is exploring lockup mechanisms to tie team incentives to ecosystem growth.