EDGE Price Plummets 77%: External Manipulation or Internal Script?
On June 2, the native token EDGE of the edgeX protocol experienced a violent flash crash, plummeting over 77% from around $1.14 to a low of $0.32 before partially recovering to approximately $0.64. edgeX officially ruled out a hack or platform security flaw, attributing the event to suspected market manipulation by external actors.
The incident reignited community concerns regarding the project's transparency and past controversies. Prominent on-chain investigator ZachXBT highlighted that EDGE supply has long been controlled by a small group, with low circulating liquidity. This structure traces back to a disputed airdrop in April 2026, where the majority of tokens were allocated to partner wallets instead of the community, leading to accusations of a "well-designed rug pull."
Despite having notable backers like Circle Ventures and Amber Group, and generating substantial protocol fees, edgeX faces criticism for a recurring pattern of "low float, high control, and opaque market making." While the team investigates the crash and emphasizes its core contracts are operational, user sentiment remains severely damaged, with many expressing a lack of trust in the team's integrity. Meanwhile, prediction markets have already opened betting pools on EDGE's future price.
marsbit06/02 06:02
