DWF Labs founder rejects DEXE manipulation claims amid 90% token drop

Andrei Grachev said the firm's DEXE trading was conducted on centralized exchanges and traceable by exchange records, responding to allegations that DWF profited about $40 million from price manipulation.

DEXE

Summary

DWF Labs founder Andrei Grachev denied allegations that the firm manipulated DEXE, saying all related trades were executed on centralized exchanges and could be checked through exchange records. Grachev said DWF Labs accumulated a large amount of DEXE in 2024, sold part of its holdings in 2025 to take profits, bought a large amount again around Oct. 10, and hedged first-half 2026 gains. He said the firm was later forced to close its short position when futures funding rates turned negative, then sold part of its DEXE spot holdings to build cash reserves. The comments came after allegations that DWF Labs profited about $40 million from manipulating DEXE, which has fallen more than 90%, and after claims that the firm was also involved in price manipulation in ESPORTS and SIREN. Grachev also criticized paid key opinion leaders for spreading what he called misleading information.

Terms & Concepts
  • futures funding rates: Periodic payments between traders in perpetual futures markets, often used to keep contract prices aligned with spot markets.
  • short position: A trade structured to profit from a decline in an asset's price.
  • spot holdings: Tokens held directly in the cash market rather than through derivatives.