One of the world’s largest DAOs (Decentralized Autonomous Organizations), Bybit group, has recorded a massive dumping of its token in three hours. Crypto community users dumped BITDAO following a sell-off move made by one of its largest holders, Almeda Research.
Almeda Research Breaches Agreement With BITBY
During the early hours of today, Bybit CEO Ben Zhou alerted crypto communities of the alleged breach of the agreement by Almeda Research. Ben Zhao made the statement via a series of tweets on his verified Twitter handle.
The tweets alleged that an affiliated company, Alameda Research, has been selling off its large holding. The intended dump was a breach of contract to the agreement signed by both parties to hold $Bit for at least 3 years.
Ben’s Tweet alleged that the breach by Alameda has caused concern for the BIT(DAO) community and crypto users. Although Ben stated that the sell-off has not kickstarted yet, but demands Almeda prove the rumors otherwise.
Excerpts from his tweet, “BIT users have raised concern about the massive sales of token intended by Alameda research. This move breaches a signed 3-year agreement; we would like to receive evidence and authentication proving the suspicion wrong”.
Alameda’s Breach Of Agreement: Possible Consequences
In his series of Tweets, ByBit CEO Ben Zhao stated that the FTX-affiliated Alameda Research must not have breached their agreements. The suspicion of dump heightened after Lookonchain revealed that Alameda had sent millions of dollars to the crumbling FTX exchange.
BIT community users have ordered that Alameda proves the rumors wrong with evidence or face consequences that follow. Following the allegation made by BitBy CEO on Twitter, an Ethereum data analyzing company, Nancen has refuted the claims.
The ETH data analysis company stated that Alameda did not initiate the dump. Nancen CEO Alex Svanevik said that Mirana Venture, a Bitby partner, initiated the BIT dumps and withdrawals.
Alex Svanevik also stated that the push for a withdrawal of BIT does not amount to selling or dumping. Possibly, Alameda is innocent of the allegations leveled against it.
Following the defense made by Nancen, Alameda CEO has replied to the allegation against it. Alameda CEO Caroline Ellison, via her Twitter handle, stated that the allegations were false and that the company has no intentions of breaching their argument.
Caroline stated that she would provide all necessary evidence to support her claims. She reiterated that Alameda has no intentions of dumping BIT tokens.
Caroline’s Tweet, “Alameda has no intentions of dumping BIT tokens, will provide evidence soon.”
