On July 12, 2026, the Sui-based decentralized exchange BlueMove was accused of systematically draining every liquidity pool on its platform, with losses exceeding 700,000 SUI. Tyler Simpson, founder of Quantum Void Labs, publicly called attention to the incident, stating that BlueMove had withdrawn the total value locked from each pool and described the aftermath as "charts are destroyed, pools drained entirely."
All MovePump Launchpad Token Pools Wiped to Zero
Simpson reported that all tokens launched via BlueMove and its MovePump Launchpad were affected, with each pool's balance reduced to zero dollars. The losses targeted meme coins and smaller projects that used the MovePump bonding curve contract for establishing liquidity. Simpson had previously warned stakeholders about possible risks with BlueMove on three occasions before the event.
Onchain White Hat Proposal and Community Reports
Blockchain monitoring account Defimon Alerts observed an onchain message referencing a drained BlueMove pool valued at roughly $400,000. The message proposed a "white hat" resolution: keep 30% as a bounty and return 70% within 48 hours to a listed Sui address, warning of legal action otherwise. Another X user, @saksidasaksi, noted that BlueMove was actively removing liquidity pools and that Beeg Blue Whale, a project using MovePump contracts, saw a drastic drop in available liquidity. The same user claimed BlueMove "stopped development a long time ago" and was stripping liquidity from projects that believed their tokens were secure.
Backdoor Allegations: May 31 Package Upgrade Under Fire
Simpson alleged that BlueMove introduced a backdoor through a May 31 package upgrade, executed by the party holding the upgrade cap. The upgrade added a function for returning liquidity and a double-minting mechanism that inflated LP tokens. The upgrade was made immutable immediately afterward. Defimon Alerts echoed these concerns, citing reports of a backdoor with loss estimates ranging from $400,000 to $550,000, in addition to the 700,000 SUI figure.
BlueMove's History and Criticism of Sui Ecosystem
In August 2023, BlueMove discontinued operations on the Sei Network due to low trading volumes, asking users to delist NFTs within 72 hours. The team has not publicly responded to the latest allegations. Simpson also criticized the Sui environment, claiming that Mysten Labs and the Sui Foundation had marginalized projects, leaving only a few like WAL and DEEP. As of publication time, no official statement or remediation plan has been issued by BlueMove.