Movement Labs, a crypto startup backed by Donald Trump-backed World Liberty Financial and recently embroiled in controversy, has faced accusations of secret token allocation. Leaked documents reveal that the company secretly distributed a significant portion of MOVE tokens to early advisors, bypassing investors and raising concerns about transparency and power dynamics within the company. 2023 internal memos detail that one advisor received over $2 million worth of tokens annually, although the company claims these agreements are non-binding and exploratory. This revelation has sparked further turmoil. Co-founder Rushi Manche was recently fired, while fellow co-founder Cooper Scanlon stepped down as CEO but remains with the company. The scandal’s fallout includes the disclosure of private agreements between Movement Labs founders and influential figures like Zebec Protocol CEO Sam Thapaliya and Vinit Parekh, who allegedly secured access to up to 10% of the MOVE supply through secret memorandums of understanding. While Thapaliya claims these are legally binding and will take legal action for his 2.5% allocation, Movement Labs maintains that these agreements are not contractual. This incident highlights concerns about ethical practices within the crypto industry.