Svmuu News: Yooldo posted on X to issue an official statement regarding the sharp drop in the price of the ESPORTS token on May 25. This incident was not initiated, orchestrated, or intended by the ESPORTS team, which remains committed to building a healthy ecosystem and creating long-term value for the community.
Key findings of the investigation are as follows: The ESPORTS team had previously engaged external OTC and market-making partners to support liquidity and ecosystem development; the investigation revealed that one of these partners engaged in activities inconsistent with the team’s agreements; Based on current information, the team believes the large-scale sell-off originated from tokens previously provided to this partner; however, because the transactions passed through multiple wallets, counterparties, and exchanges, it is difficult to trace the complete flow of funds; The ESPORTS team did not implement, coordinate, or direct any market-selling activities intended to drive down the price. Upon discovering the issue, the team has been working with exchanges and relevant parties to investigate the incident and limit further damage; The team has begun implementing recovery measures, including liquidity support and the introduction of new long-term partners, but continues to face challenges posed by ongoing selling pressure from this market maker and market volatility.
Yooldo also stated that new game updates and additional buyback plans will be announced shortly, and advised all project founders to work exclusively with reputable and trustworthy market makers.
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ESPORTS: The sharp drop on May 25 was caused by irregularities in the operations of a collaborating market maker
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