Trading of the MYX token on the MYX decentralized exchange (DEX) showed signs of market manipulation, with 249 anomalies detected in liquidity, volume spikes, price ratios, and trade intensity from Sept. 9 to Monday. An analysis by Rena Labs and Insider.Cash revealed a 433% spike in liquidity anomalies on the Gate exchange on Sept. 9.

During periods of peak illiquidity, MYX token average trade sizes shrank by 67%, trading frequency dropped by 45%, and bid-ask spreads contracted from 15.8% to 8.2% on Monday. Bid-ask spreads usually widen during low liquidity and narrow when liquidity is high, making the behavior during peak illiquidity suspicious.

Rena Labs noted that extreme deviations in market metrics indicate coordinated manipulation strategies rather than organic trading. The likelihood of anomalies in all dimensions simultaneously was less than 0.001%, suggesting organic trading was highly improbable. MYX Finance did not respond to requests for comment by publication time.

Bubblemaps raised concerns about the MYX token airdrop, alleging it may have been targeted in the largest Sybil attack in crypto history. A Sybil attack involves creating multiple controlled accounts to simulate organic network activity. One entity reportedly profited $170 million from the airdrop by controlling 100 funded wallets.

Read more at Cointelegraph: MYX Token’s 1,400% Rally Likely the Result of Market Manipulation