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LAB Token Plummets to $1.5 Billion as On‑Chain Claims of Insider Control Surface

Large deposits to exchanges and scheduled mid‑July token unlocks raise the prospect of further selling and regulatory scrutiny.

Overview

  • The LAB token fell sharply from a peak market value near $4.7 billion to about $1.5 billion after a string of extreme short‑term swings and heavy selling pressure.
  • Traders recorded rapid pumps followed by steep drops, including a roughly 200% weekend surge that was erased within days and intraday corrections exceeding 80 percent.
  • On‑chain investigators led by ZachXBT allege that insiders effectively control more than 95 percent of the tradable supply through opaque allocations, private loans and OTC deals, a claim that has not been legally proven.
  • Blockchain data show large transfers into centralized exchange deposit addresses — one reported movement of 226 million LAB to Bitget — and analysts say those inflows typically precede heavy selling.
  • Only about 312 million of 1 billion LAB are currently circulating and major unlocks set for mid‑July through August risk adding supply, which could deepen losses and attract interest from regulators and harmed investors.