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ZachXBT Links LAB Crash to Wallet Holding Millions of Tokens

ZachXBT points to a wallet that moved millions of LAB through Bitget and Aster, while the team points to selling pressure and an upcoming unlock.

By Zenz van der Wielen
• 2 min read
ZachXBT Links LAB Crash to Wallet Holding Millions of Tokens

Key Takeaways

  • ZachXBT links the LAB crash to a wallet that was previously funded by the LAB team and received millions of LAB.
  • According to his analysis, that wallet sold 18.4 million tokens on Aster, after which the LAB price dropped from $1.2 to $0.55.
  • LAB Trade points to selling pressure from outside parties, while an unlock on July 14 could still release about 27 million LAB.

Onchain investigator ZachXBT says a wallet originally funded by the LAB team is tied to the token’s steep collapse. The findings are adding more scrutiny to LAB Trade after the project lost a large share of its value in the latest sell-off, while the team continues to reject the idea that the drop was caused by anything at the project level.

Blockchain Trails

ZachXBT shared his findings on Telegram, saying the selling can be traced to a wallet that was first funded by the LAB team. In his view, that wallet received more than 196 million LAB from the team in April 2026, and the tokens were then moved to four Bitget deposit addresses.

Roughly 100 million LAB left Bitget in May and then sat idle for several weeks. Activity picked up again on July 10, when the distribution started moving once more. ZachXBT says the entity then sold 18.4 million tokens on the decentralized exchange Aster, sending LAB from $1.2 (€1.05) down to $0.55 (€0.48).

He also says the wallet still holds 81.5 million LAB. If those tokens start moving again, he argues, they could create another round of selling pressure.

Team Points to Selling Pressure

LAB Trade responded on X by saying the decline is mostly the result of heavy selling from outside parties. The team also said several independent trading firms hold large LAB positions that are not connected to the project.

The timing has made the situation even more fragile. LAB reached an all-time high of $27.48 (€24) on June 2, then gave back more than 90% of that value in a short span. In the first days of July, the token fell again, and market data shows it lost more than 97% in a week.

The team later carried out a burn of 10 million LAB, equal to 1% of the total supply. Onchain data shows those tokens were sent to a null address. Even so, traders are still watching July 14 closely, when another roughly 27 million LAB is expected to unlock, potentially adding more supply to the market.

Why This Matters

For European crypto readers, the episode is a reminder of how quickly tokens with limited circulating supply can swing when large holders start selling. LAB Trade was launched in 2024 as a multi-chain trading infrastructure project and held its TGE in October 2025, after which it also appeared on Binance Alpha and other trading platforms. That setup does not automatically point to anything suspicious, but it can make large wallets and unlocks have a much bigger effect on price. The upcoming token unlocks in July show how fresh supply can quickly turn into more volatility.

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