LFG's Large-scale AVAX and BNB Transactions Rattle Crypto Markets

A significant transfer of Avalanche (AVAX) and Binance Coin (BNB) tokens by the Luna Foundation Guard (LFG), a Singapore-based non-profit associated with Terraform Labs and its founder, Do Kwon, has stirred up attention within the crypto community.

Wu Blockchain, a prominent X account linked with Chinese crypto journalist Colin Wu, disclosed the strategic token shift orchestrated by LFG. According to Wu Blockchain's report, an LFG-affiliated wallet moved a substantial sum, including 1.974 million AVAX (worth $71.2 million) and 39.499k BNB (worth $23.5 million), to an address identified as 0x13463Aab3ECcE77Cfd8Cc28fA498a5F9DB242e27.

Following these sizable transactions, both AVAX and BNB tokens experienced difficulties in overcoming bearish market trends. At present, AVAX is trading at $36.13, reflecting a 2.08% decline over the past 24 hours, while BNB shows a slight dip of 0.65%, trading at $593.14.

Despite BNB holding the 4th position on CoinMarketCap with a market cap of $87.5 billion, it faced fluctuations, hitting a daily high of $601.33 before sliding to $592.11. However, a noticeable 6% increase in trading volume suggests heightened demand for the token.

Similarly, AVAX reached a peak of $37.05 before declining below $36 later in the day. Positioned 12th on CoinMarketCap with a market cap of $14.2 billion, AVAX witnessed a 1.80% decrease in 24-hour trading volume, totaling $382 million, indicative of the crypto market's volatile nature.

In other developments, LFG announced plans to bolster fund security while ensuring transparency and traceability. The platform revealed intentions to transfer funds to a direct custody solution in the coming days to fortify their safety measures.