$DEXE has lost 96.8% in 11 days after falling from a record high near $49.43 to $1.56, while large Ceffu transfers to Binance have prompted questions about a possible DWF Labs connection.
On-chain analyst Ai Yi reported that $DEXE ($DEXE) reached an all-time high of $49.432 on July 12 before its decline began the following day. The steepest move came on July 21, when the token dropped as much as 88% from $46.93 to $5.648 within one trading day, according to the analyst’s timeline.
During an examination of large on-chain flows, Ai Yi found that most transfers came from centralized exchange hot wallets. Ceffu was the only entity outside exchanges that moved more than $1 million worth of $DEXE, making its activity stand out from the other transactions reviewed by the analyst.
Since July 13, the crypto custody platform has transferred 797,917.24 $DEXE to Binance across six transactions, Ai Yi reported. Those tokens were worth a combined $6.15 million when the on-chain transfers took place, although their value would have been much higher before the collapse.
Ceffu’s mirrored positions may explain the delayed transfers
Ai Yi’s analysis focused on Ceffu’s MirrorX service, which allows institutional clients to trade on exchanges while keeping their assets in custody. Under the system described by the analyst, $DEXE deposited with Ceffu can create a matching position on an exchange, while the corresponding on-chain transfer is settled later.
Because trading can occur before the tokens visibly move on-chain, Ai Yi argued that the six transfers may not show when the associated positions were first used. If the 797,917 $DEXE had been positioned for trading before the price started falling on July 13, the analyst estimated that they would have carried an effective value of about $39.44 million.
Ai Yi presented this sequence as a possible explanation rather than proof that the tokens were sold before their on-chain settlement. The analyst’s post did not identify the owner of the assets, establish that all 797,917 $DEXE had been sold, or provide direct evidence connecting the transfers to the initial price decline.
Questions over the source of the custodial balance also remain unresolved. After reviewing public project information, Ai Yi found no evidence that the $DEXE team had placed tokens with Ceffu. According to the analyst, much of the project-linked supply appeared to remain in the decentralized autonomous organization’s treasury and contracts covering team-related lockups.
Falcon connections put DWF Labs under scrutiny
Searching $DEXE’s official partner list for another possible route to Ceffu, Ai Yi pointed to Falcon Finance. The analyst noted that Falcon had supported $DEXE as collateral on its platform and that Ceffu was among the institutions used for Falcon’s asset custody.
Ai Yi also identified links between Falcon Finance and DWF Labs, while DWF Labs appeared separately on $DEXE’s partner list. Based on those public connections, the analyst suggested that the Ceffu-held tokens could have involved DWF Labs, Falcon, the project team, or another market maker.
No evidence provided in Ai Yi’s post proves that DWF Labs, Falcon Finance, Ceffu, or the $DEXE team caused the crash. The analyst described the conclusion as an early assessment based on on-chain movements and a process of tracing public links, leaving open other explanations for the transfers.
Neither the transfer data nor the cited partnerships establish who controlled the $DEXE positions represented through MirrorX. Ai Yi also did not rule out possible involvement by the project or other market makers, but the post offered no conclusive finding about the party responsible for selling.
$DEXE’s collapse follows two other steep token sell-offs reported by crypto.news in recent weeks. On July 3, $LAB fell more than 60% from a June 27 high near $20 to an intraday low of $7.50 as concerns about insider holdings, token transparency and derivatives liquidations drove panic selling.
Crypto.news reported that the $LAB decline followed community scrutiny of allegations from on-chain investigator ZachXBT, who had claimed insiders controlled more than 95% of its supply. ZachXBT also raised concerns about private over-the-counter agreements, changing vesting schedules and insider-wallet movements, although those public allegations have not been established in court and the $LAB team has disputed or not accepted many of them publicly.
Humanity Protocol’s H token suffered another sharp collapse on June 9, losing more than 80% after attackers drained wallets linked to the project. Unlike the unanswered questions surrounding $DEXE’s transfers, the Humanity Protocol team confirmed that attackers had compromised a private key belonging to a Humanity Foundation member.
Humanity Protocol operates an identity network built on a zero-knowledge Ethereum Virtual Machine and uses palm biometrics with zero-knowledge proofs to verify unique users. The project says its design allows identity checks without placing users’ complete personal information inside large centralized databases.
