edgeX Team Attributes Token Crash to External Interference

The decentralized exchange edgeX has attributed the significant 67% decline in its native EDGE token's value to intentional actions by outside parties. The price of EDGE dropped sharply from $1.21 to $0.40 within a day, prompting the platform to launch an investigation.

We want to emphasize that there was no hack or breach of our protocol; this incident is a matter of market integrity.

Despite the edgeX team's official stance, blockchain investigator ZachXBT has raised concerns about potential insider manipulation, suggesting that the supply of EDGE is tightly controlled by a small group. He has called for transparency regarding agreements with market makers and other counterparties involved in the incident.

As of now, the EDGE token's price has slightly rebounded to $0.6576. The project's representatives confirmed that the protocol itself was not compromised. They assured users that the issue stemmed from external influences and promised a detailed report following discussions with exchanges to identify those responsible.

The address linked to the incident is an official smart contract for user deposits and withdrawals, not a malicious entity.

In contrast, ZachXBT criticized the edgeX team's narrative, humorously noting the irony of their self-investigation given their control over the majority of the token supply. Currently, 350 million of the total 1 billion EDGE tokens are in circulation, with allocations designated for early users, the core team, and reserves.

edgeX is currently ranked 17th among decentralized exchanges based on daily trading volume, with a total value locked (TVL) of $134.54 million. This incident follows a recent security breach in another project, SUPERFORTUNE, where an attacker managed to withdraw approximately $15 million.