RaveDAO's RAVE token collapses 90% in a day as exchange probes widen

The token traded at $1.15 on Sunday, down from a $27.33 peak on Friday, wiping out more than $5 billion in market cap while Binance and Bitget investigations advance.

What to know:

• RaveDAO's RAVE token plunged about 90% in 24 hours, erasing roughly $5.7 billion in market value after Binance and Bitget opened investigations into its meteoric rally.
• Onchain sleuth ZachXBT alleged that about 90% of RAVE's 1 billion supply sat in three team-linked wallets and that large transfers to exchanges preceded a 10,800% price surge that triggered $44 million in liquidations.
• RaveDAO denied involvement in the trading activity and said it may sell unlocked tokens to fund operations while exploring future lockup models, but it did not address the specific onchain claims or commit to concrete safeguards.

Three wallets, one denial, and $5.7 billion in market cap gone in 48 hours.

RaveDAO's RAVE crashed 90% over 24 hours as crypto exchanges Binance and Bitget opened investigations into the trading activity that catapulted the token to a $6 billion market cap last week.

Bitget CEO Gracy Chen confirmed the probe on X, and Binance co-CEO Richard Teng subsequently said the exchange was reviewing the matter and would "always" do its part to examine signs of market misconduct. Gate.io was also named in the original allegations from onchain investigator ZachXBT, who has offered a $25,000 bounty for whistleblowers with evidence of the parties involved.

The collapse accelerated after the project's Saturday denial rather than stabilizing on it.

RaveDAO posted a six-part X thread stating the team "is not engaged in, nor responsible for, recent price action."

The thread did not address any of the specific onchain allegations that prompted the scrutiny, including the concentration of roughly 90% of the 1 billion RAVE supply across three Gnosis Safe multi-signature wallets attributed to the team, or the millions of tokens transferred to exchanges shortly before the rally began.

The original rally took RAVE from about $0.25 to $27.33 in nine days, a 10,800% move that triggered $44 million in liquidations on Friday, just behind bitcoin and ether, with the bulk of them from short sellers positioned against the token.

Investigators flagged a "bait and liquidate" pattern in which visible token transfers to exchanges suggested incoming sell pressure, drawing traders into short positions before those tokens were withdrawn and prices ripped higher, forcing shorts to cover at progressively worse levels.

RaveDAO presents itself as a Web3 entertainment platform offering onchain ticketing for electronic music events, tracing its origins to a 2023 Istanbul afterparty. The project reported about $3 million in 2025 revenue and lists partnerships with Binance, OKX, Bitget, and Polygon.

RaveDAO's thread did confirm the team plans to "liquidate portions of unlocked tokens" when appropriate to fund operations and marketing, and said it was "exploring appropriate models, including price-triggered or performance-triggered locks, that tie team incentives to ecosystem growth."

It did not commit to any specific lockup mechanism or timeline, however.

More For You

Strategy aim to reduce volatility, enable consistent bitcoin buying, and create the only bi-monthly paying preferred shares in the market.

What to know:

• Semi-monthly payouts are expected to reduce the typical post-ex-dividend price drop, lower volatility, and help keep STRC trading closer to its $100 par value.
• More frequent distributions should reduce reinvestment lag and spread buying activity more evenly throughout the month, allowing Strategy to purchase bitcoin at a steadier pace while...

Inside the rise of wrench attacks against crypto holders and how France has become the focus

31 minutes ago

Nomura study says 65% of institutional investors see crypto as a vital portfolio diversifier

1 hour ago

One person holds the keys to $200 million of a project’s crypto. His co-founder says that has to end

3 hours ago

2026's biggest crypto exploit: $292 million gets drained from Kelp DAO with wrapped ether stranded across 20 chains

17 hours ago

Why Michael Saylor's Strategy decided to make STRC's dividend bi-monthly

18 hours ago

From smelters to servers: Alcoa to cash in on crypto’s thirst for energy

18 hours ago

Binance and Bitget to probe RAVE’s 4,500% token surge as claims of insider-orchestrated rally grow

21 hours ago

Bitcoin falls back to $76,000 as Iran shuts Hormuz again

Apr 18, 2026

Strategy proposes semi-monthly dividends on its popular STRC preferred stock

Apr 17, 2026

Sam Altman’s World project launches major upgrade to fight deepfakes and bots

Apr 17, 2026

Ethereum co-founder Joseph Lubin warns of the dangers of AI being controlled by a few big tech firms

Apr 18, 2026

Stripe doubles down on blockchain and stablecoins, aiming to become 'AWS for money'

Apr 18, 2026