DEXE lost 96.8% in 11 days after falling from a record high near $49.43 to $1.56, while Ceffu’s large transfers to Binance raised questions about a possible DWF Labs connection.
summary
- DEXE fell 96.8% in 11 days after hitting a record high of $49.43.
- Ceffu transferred 797,917 DEXE to Binance through six transactions starting on July 13.
- Ai Yi traced possible links to DWF Laboratories but found no evidence of her involvement.
On-chain analyst Ai Yi I mentioned The DEXE (DEXE) reached an all-time high of $49,432 on July 12 before beginning a decline the next day. The sharpest move came on July 21, when the token fell as much as 88% from $46.93 to $5,648 within a single trading day, according to the analyst timeline.
While examining large on-chain flows, Ai Yi found that most of the transfers came from central exchange hot wallets. Ceffu was the only OTC entity to move more than $1 million worth of DEXE, making its activity stand out from other transactions reviewed by the analyst.
Since July 13, the cryptocurrency custodian has transferred 797,917.24 DEXE to Binance across six transactions, Ai Yi reported. These tokens were worth a combined $6.15 million when the on-chain transfers took place, although their value was much higher before the collapse.
Identical Ceffu positions may explain the late transfers
Ai Yi’s analysis focused on Ceffu’s MirrorX service, which allows institutional clients to trade on exchanges while keeping their assets in custody. Under the system described by the analyst, DEXE deposited with Ceffu can create a matching position on the exchange, while the corresponding transfer is settled on-chain later.
Since trading can occur before the tokens have clearly moved on-chain, Ai Yi argued that the six-way moves may not have occurred when the linked positions were first used. If 797,917 DEXEs had been put into circulation before the price began to decline on July 13, the analyst estimated they would have carried an effective value of about $39.44 million.
Ai Yi presented this sequence as a possible explanation and not evidence of token sales prior to on-chain settlement. The analyst post did not identify the owner of the assets, prove that all 797,917 DEXE assets had been sold, or provide direct evidence linking the transfers to the initial drop in price.
Questions regarding the source of the custody balance also remain unresolved. After reviewing the public project information, Ai Yi found no evidence that the DEXE team had placed tokens with Ceffu. According to the analyst, much of the supplies associated with the project appear to remain in the DAO’s treasury and contracts covering detentions associated with the team.
Falcon Communications puts DWF Laboratories under the microscope
While searching DEXE’s official partner list for another potential route to Ceffu, Ai Yi pointed to Falcon Finance. The analyst noted that Falcon backed DEXE as collateral on its platform and that Ceffu was among the institutions used to hold Falcon assets.
Ai Yi also identified links between Falcon Finance and DWF Labs, while DWF Labs appeared separately in the list of DEXE partners. Based on those public communications, the analyst suggested that tokens held by Ceffu could include DWF Labs, Falcon, the project team, or another market maker.
There is no evidence presented in Ai Yi’s post proving that DWF Labs, Falcon Finance, Ceffu, or the DEXE team caused the accident. The analyst described the conclusion as an early assessment based on on-chain movements and the overall link tracking process, leaving open other interpretations of the transfers.
Neither the transit statements nor the partnerships mentioned identify who controls the DEXE sites represented through MirrorX. Ai Yi also did not rule out the possibility that the project or other market makers were involved, but the post did not provide any conclusive conclusion about the party responsible for the sale.
The DEXE collapse comes on the heels of two other sharp token sell-offs reported by crypto.news in recent weeks. On July 3, LAB stock fell more than 60%. From the June 27 high near $20 to the intraday low of $7.50, as concerns about insider holdings, token transparency and derivatives liquidation led to panic selling.
Crypto.news reported that LAB’s drop came after community scrutiny of claims by on-chain investigator ZachXBT, who claimed that insiders controlled more than 95% of its supply. ZachXBT has also raised concerns about private OTC agreements, changing vesting schedules and internal portfolio movements, although these public allegations have not been proven in court and many of them have been disputed or not publicly accepted by the LAB team.
Humanity Protocol’s H token suffered another severe crash on June 9, Loss of more than 80% After the attackers drained the wallets associated with the project. In contrast to the unanswered questions surrounding DEXE transfers, the Humanity Protocol team has confirmed that attackers compromised a private key belonging to a member of the Humanity Foundation.
Humanity Protocol runs an identity network built on a zero-knowledge Ethereum virtual machine and uses palm biometrics with zero-knowledge proofs to verify unique users. The project says its design allows for identity verification without placing users’ full personal information inside large central databases.
