LAB token surged 67% in 24 hours to reach a record $16.24 on June 1, pushing its market cap above $4.66 billion. Despite the impressive rally, most early investors remain unable to realize profits due to vesting schedules. The token's circulating supply is approximately 312 million, representing 31% of its total supply, with the rest locked under various vesting agreements.
The rapid price increase, which saw LAB climb 240% in seven days and 656% over the past month, has raised concerns about liquidity and insider advantages. Critics highlight that thin order books and locked allocations have led to costly sell-offs and significant intraday drawdowns. Allegations of opaque distribution and unilateral vesting changes have also surfaced, with blockchain investigator ZachXBT claiming insiders control over 95% of the float.
As the market anticipates upcoming unlocks in July and August, the potential influx of tokens could test whether current prices reflect genuine demand or are a result of a temporary supply squeeze. The situation underscores broader concerns about insider trading in new token listings, with past studies indicating similar patterns in over half of post-2021 exchange debuts.
LAB Token Soars 70% Amid Vesting Concerns and Locked Profits
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