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🩸BEARISH CoinDesk

FUN Crashes 90% as Binance Hacker Sells Into Thin Pool

The wallet still holds 580.8 million FUN, leaving the token exposed to further selling even after a sharp rebound in the pool.

FUN Crashes 90% as Binance Hacker Sells Into Thin Pool
FUN Crashes 90% as Binance Hacker Sells Into Thin Pool
FUN Crashes 90% as Binance Hacker Sells Into Thin Pool
FUN Crashes 90% as Binance Hacker Sells Into Thin Pool
FUN Crashes 90% as Binance Hacker Sells Into Thin Pool
FUN Crashes 90% as Binance Hacker Sells Into Thin Pool
FUN Crashes 90% as Binance Hacker Sells Into Thin Pool
FUN Crashes 90% as Binance Hacker Sells Into Thin Pool

FUNToken plunged more than 90% in its Uniswap trading pool after a wallet linked to the Binance hack began selling smaller tokens into thin markets. The attacker sold 134.1 million FUN for 111.5 ETH, worth about $250,000, while the pool held only around $16,000 in total liquidity.

Why it matters

Uniswap pools use shared reserves rather than a traditional order book. When a seller removes one side of a small pool, each trade can sharply shift the balance and price. The FUN/WETH pool’s limited depth left it vulnerable to the hacker’s sales, which were made through more than 150 trades over several hours.

The scale of the sale also shows how little of a token’s apparent value may be realizable when liquidity is scarce. The 134.1 million FUN sold were valued at about $1.17 million using an earlier estimate of the hacker’s holdings, but the sales generated about $250,000.

Market impact

FUN’s dollar price fell 68% across markets in 24 hours, despite the pool price rebounding 75% in the hour after selling stopped. The selling wallet still holds 580.8 million FUN, about 5.4% of the token’s maximum supply, so further sales could put pressure on the market.

Other tokens sold from the attacker’s wallet also declined: RSR fell 17.6%, RED 17.1%, GTC 16.6%, and OGN was among the other tokens sold. FUNToken asked centralized exchanges to temporarily disable FUN deposits, but trading on decentralized exchanges such as Uniswap continued.

Related tokens
$FUN $ETH $RSR $RED $GTC
$FUN#Uniswap#DeFi#ThinLiquidity

Frequently asked questions

  1. How much FUN did the attacker sell, and what did the sales bring in?

    The wallet sold 134.1 million FUN for 111.5 ETH, worth about $250,000.

  2. Why did FUN fall so sharply on Uniswap?

    The FUN/WETH pool held only around $16,000 in total liquidity. Sales into a shallow pool can significantly shift its reserves and price.

  3. How much FUN does the selling wallet still hold?

    The wallet still holds 580.8 million FUN, about 5.4% of the token’s maximum supply.

  4. Did FUN recover after the selling stopped?

    The pool price rebounded 75% in the hour after selling stopped, while FUN remained down 68% across markets over 24 hours.

  5. Which other tokens sold from the wallet also declined?

    RSR fell 17.6%, RED fell 17.1%, and GTC fell 16.6% in 24 hours. OGN was also among the tokens sold.

Source attribution
Aggregated from CoinDesk · Verified · Last refreshed 1h ago
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