RAVE's Price Surge Raises Concerns Over Market Manipulation

RAVE's recent spot price surged from $0.3 to $6.2, marking a 20-fold increase, sparking suspicions of contract manipulation within the community. According to ChainCatcher, this maneuver led to liquidations exceeding $37 million across the network, with short positions accounting for over $31 million. The project team is estimated to have profited more than $30 million. Community reports suggest that the RAVE project is managed by the former ARPA and Bella Protocol team, led by Felix Xu and Yemu. In 2021, Felix Xu raised a $20 million crypto fund, ZX Squared Capital, primarily focused on quantitative trading. The fund reportedly provided the capital for RAVE's market-making and price-pumping activities, allowing the project team to self-initiate, self-fund, and self-market, thereby minimizing trust issues and insider trading risks to maximize profits.