Reviewing On-Chain Data on YGG Token Pump-Dump
After a week of volatility with events like the BALD rug pull, Curve Finance's pool exploit, and Curve's founders continuously selling CRV over-the-counter to settle debts, the market heated up again with the YGG token surge. Recently, on August 4th, Binance announced the launch of futures contracts for YGG with leverage up to 20x.
Reviewing on-chain data for YGG token. Image: Yield Guild Games
Significantly, the price of Yield Guild Games (YGG) token started showing signs of increase prior to the announcement and soared by approximately 450% until August 7th. This price surge attracted attention due to notable on-chain activities from organizations and whales.
- DWF Labs
DWF Labs is speculated to be the driving force behind this YGG surge. In 2022, DWF Labs received a total of 29.13 million YGG (16 million USD) from Yield Guild Games' Treasury wallet.
Looking at YGG transfers, about a month ago, DWF Labs transferred 3.65 million YGG (21 million USD) to wallet 0xddAc. This wallet then moved the entire amount to Binance just two days ago, on August 6th, during the peak price surge.
Checking DWF Labs' balance reveals no remaining YGG tokens in their wallet.
YGG token transfer transactions to 0xddAc. Source: Arkham Intelligence
YGG token transfer to Binance from 0xddAc. Source: Arkham Intelligence
YGG token transfers to exchange from other wallets of DWF Labs. Source: Etherscan
- BITKRAFT Ventures
Address 0xCb8b, associated with BITKRAFT Ventures, deposited 934,000 YGG on Binance through wallets of Wintermute Trading and FalconX.
BITKRAFT Ventures' YGG token transfer. Source: Etherscan
YGG token transfer to Wintermute. Source: Arkham Intelligence
YGG token transfer to FalconX. Source: Arkham Intelligence
- Sfermion
After receiving 1.2 million YGG (735,000 USD), address 0x281 from Sfermion transferred all tokens to FalconX for depositing on Binance on August 6th. This action by Sfermion mirrors their previous moves after receiving YGG tokens.
YGG token transfer to FalconX from Sfermion. Source: Arkham Intelligence
- Wintermute
From August 3rd onwards, Wintermute transferred a significant amount of YGG (nearly 20 million tokens) to Binance. This seems indicative of insider knowledge, with tokens moved to Binance ahead of the surge.
YGG token transfer to exchange from Wintermute. Source: Arkham Intelligence
- Youbi Capital
Address 0x32aD of Youbi Capital transferred a total of 5 million YGG to wallet 0x3baB. Wallet 0x3baB subsequently transferred 2 million YGG (1.26 million USD) to Binance as prices surged.
By August 7th, Youbi added another 4 million YGG to 0x3baB, which then continued to transfer tokens to Binance.
YGG token transfer from wallet 0x32aD to wallet 0x3baB. Source: Arkham Intelligence
YGG token deposit to Binance from 0x3baB. Source: Arkham Intelligence
YGG tokens transferred to Binance exchange. Source: Arkham Intelligence
- Wallet 0x639B
Address 0x639B transferred 2 million YGG (1.16 million USD) to Binance, with the wallet still holding 2 million YGG tokens.
YGG token transfer to exchange from wallet 0x639B. Source: Arkham Intelligence
Summary
These are the highlighted YGG token transaction details from various funds and individuals, gathered and compiled in detail by Coin68 for readers. Following the 66% price drop, caution is advised for potential investors at this time.
In my assessment, these transactions represent coordinated efforts among organizations to accumulate, create hype, drive up YGG prices, and subsequently offload holdings. A common thread is that most of these organizations/funds took action following Binance's listing of YGG futures contracts, depositing and trading tokens accordingly.
1-hour chart of YGG/USDT pair on Binance at 03:30 PM on August 8th, 2023
The on-chain tools used to validate this on-chain information include: Etherscan with Advanced Filter features, Arkham Intelligence, and Scopescan.
