Following allegations of an insider-orchestrated rally by on-chain analyst ZachXBT, major cryptocurrency exchanges Binance and Bitget have initiated investigations into the trading activity surrounding RaveDAO's RAVE token. The token experienced a remarkable 4,500% increase in value over a week, resulting in the liquidation of over $44 million in RAVE positions, mostly bearish, in a single day. Notably, nearly 90% of RAVE's supply was concentrated in three Gnosis Safe wallets, and millions of tokens were transferred to exchanges shortly before the price surge began.
RaveDAO, a Web3 project focused on electronic music events and blockchain-based ticketing, has stated that it is not responsible for the recent price action, but the concentration of tokens and suspicious transfers have raised concerns about potential market misconduct. The investigation is ongoing, with ZachXBT offering a $10,000 bounty for whistleblowers to come forward with evidence.