- Liquidity pools on Sui-based DEX BlueMove were drained on July 11, with observers accusing the team of pulling funds via a planted backdoor.
- Analyst Tyler Simpson says BlueMove shipped a May 31 upgrade enabling a double-mint LP exploit.
- Affected tokens launched via the MovePump bonding-curve launchpad.
The liquidity pools behind quite a number of tokens in the Sui ecosystem were emptied on Saturday, July 11. The liquidity pools are tied to BlueMove, a decentralized exchange on the Sui blockchain, and onchain observers are now accusing the DEX of pulling the funds through a planted backdoor.
One of the voices that has been active in calling out BlueMove and Sui is Tyler Simpson, founder of Quantum Void Labs, who posts as @quantumvoidlabs.
Simpson wrote that BlueMove “pulled all of the TVL in every single pool” and put the loss at more than 700,000 SUI, adding that “charts are destroyed pools drained entirely.”
In the late hours of July 11, Simpson had called out BlueMove for draining their “locked” liquidity pools.
The Quantum Void Labs founder later wrote, “All tokens on BlueMove DEX — aka, any token launched on MovePump Launchpad. All pools were drained to $0.”
What are other observers saying about the BlueMove liquidity pool drain?
Defimon Alerts, another onchain monitoring account on X, referenced an onchain message that mentioned a drained BlueMove pool of about 400,000 dollars. The message read like a negotiation aimed at whoever took the funds.
The sender wrote, “You drained the BlueMove DEX pool (~$400k). Keep 30% as a white hat bounty and return 70% within 48h to our Sui address: 0x85bf745a737a34bf73f360c22d5c8aea1f1767f3c458f5269a7c2f821b9d3781.”
The sender stated that they will consider treating the matter as resolved if the funds are returned, but they would pursue all available legal and recovery actions if the account fails to return the funds.
The tokens hit were those that launched and bonded through the MovePump curve, a bonding-curve launchpad used by smaller and older meme projects on Sui.
An X user with the account @saksidasaksi stated that BlueMove was removing the liquidity pools on its app and that the Beeg Blue Whale project held its primary liquidity in the MovePump contract, and it has seen its liquidity drop significantly.
In a follow-up, the same account stated BlueMove “stopped development a long time ago” and was now stripping out pools that projects had treated as locked.
Did BlueMove know about the backdoor that drained LPs?
Simpson wrote on X, “BlueMove team shipped the backdoor themselves.” He added that “they upgraded the package on May 31 (by the upgrade cap holder)” and also shared the transaction block address.
According to Simpson’s account, a version he labeled v12 added a function for returning added liquidity along with a double-mint mechanism that inflated LP tokens, and the package was made immutable immediately afterward.
Defimon Alerts also noted that a backdoor had been reported. However, the figures cited here come from the observers and range from about 400,000 to 550,000 dollars, alongside the separate 700,000 SUI estimate.
BlueMove has form for winding down without much runway. In August 2023, the project announced it would cease operations on Sei Network within 72 hours, citing trading volume below expectations and asking users to delist their NFTs first.
The BlueMove incident also adds fuel to the ongoing complaint about Sui itself. Two days before the drain, Simpson wrote that Mysten Labs and the Sui Foundation had “pushed away” most of the projects built on the chain, sparing only a handful such as WAL and DEEP.
He said in his Saturday thread that he had warned the network about BlueMove “three times.”
As of publication, BlueMove had not posted a public response to the accusations.
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FAQs
What happened to BlueMove's liquidity pools?
On July 12, 2026, liquidity pools on the BlueMove DEX were drained, wiping out the liquidity behind Sui tokens that launched through the MovePump curve, with observer @quantumvoidlabs saying more than 90% of liquidity was removed and pools were taken to zero.
How much was taken from BlueMove?
Estimates differ: Defimon Alerts referenced an onchain message citing a roughly 400,000 dollar pool, while Tyler Simpson (@quantumvoidlabs) estimated about 550,000 dollars and, separately, more than 700,000 SUI stolen.
Why do people say BlueMove itself was responsible?
Tyler Simpson claims the BlueMove team shipped a backdoor by upgrading its package on May 31, adding a liquidity-return function and a double-mint LP inflation mechanic before making the package immutable, and Defimon Alerts noted a backdoor had been reported.
Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.
Hannah Collymore
Hannah is a writer and editor with nearly a decade of blog writing and event reporting experience in the crypto space. At Cryptopolitan, Hannah contributes to the news page, reporting and analyzing the latest developments in DeFi, RWA, crypto regulation, AI and frontier tech industries. She graduated from Arcadia university with a degree in Business Administration.
