Sybil Attack or Legit Airdrop? MYX's $170M Surge and 135% Price Spike Spark Debate

Source: [1] MYX Finance Rejects Manipulation Claims (https://www.coinspeaker.com/myx-finance-rejects-manipulation-claims/) [2] MYX Finance price surges 135% amid manipulation claims (https://crypto.news/myx-finance-price-surges-insider-manipulation-2025/) [3] Regulators investigate MYX Finance’s 241% increase amidst concerns of market manipulation (https://www.edgarindex.com/2025/09/09/regulators-investigate-myx-finances-241-increase-amidst-concerns-of-market-manipulation/) [4] MYX Finance Price Soars 2,000%: Who’s Pulling the Strings? (https://cryptonews.com/exclusives/myx-finance-price-soars-2500-despite-market-doubts-whos-pulling-the-strings/) [5] MYX Finance ATH Sparks Market Manipulation Debate (https://coinedition.com/myx-finance-soars-241-percent-amid-manipulation-signs/) [6] Bubblemaps alleges largest Sybil attack in crypto history on MYX (https://cointelegraph.com/news/bubblemaps-flags-170m-myx-sybil-attack) [7] Bubblemaps Warns of $170M Sybil Attack in MYX Airdrop — (https://finance.yahoo.com/news/bubblemaps-warns-170m-sybil-attack-213243518.html) [8] Bubblemaps Flags $170M Sybil Attack in MYX Airdrop (https://www.livebitcoinnews.com/largest-sybil-attack-in-crypto-history-heres-what-went-on-with-the-myx-airdrop/) [9] BubbleMaps Flags $170M MYX Airdrop Exploit Via Sybil Attack (https://www.cryptotimes.io/2025/09/10/bubblemaps-flags-170m-myx-airdrop-exploit-via-sybil-attack/) [10] Bubblemaps Flags $170M Sybil Attack on MYX Airdrop (https://financefeeds.com/bubblemaps-flags-170m-sybil-attack-on-myx-airdrop/) [11] MYX Incident Analysis: A Chronicle of a Manipulated Liquidity Exit (https://blog.ju.com/myx-liquidity-exit-analysis/) [12] Bid-Ask Spread Anomalies: Risk and Opportunity - Option Alpha (https://optionalpha.com/blog/bid-ask-spread-anomalies/) [13] MYX Finance Explained: Pump, Manipulation, and Looming Crash (https://web.ourcryptotalk.com/news/myx-finance-crypto-risks-explained/) [14] Uncovering Market Inefficiencies: Bid-Ask Spread Anomaly Detection (https://tradingonramp.com/uncovering-market-inefficiencies-bid-ask-spread-anomaly-detection/)

Blockchain analytics firm Bubblemaps has raised alarms over what it describes as the largest Sybil attack in crypto history, targeting the MYX token airdrop of decentralized derivatives platform MYX Finance. The firm traced 100 newly funded wallets, all receiving similar amounts of BNB from OKX on April 19, 2025, which later claimed 9.8 million MYX tokens—1% of the total supply—during the airdrop on May 7. These wallets, inactive prior to the airdrop, executed claims simultaneously, raising suspicions of coordinated manipulation. Bubblemaps estimated the value of the claimed tokens at $170 million at the time.

MYX Finance denied the allegations, stating that airdrop rewards were allocated based on legitimate trading volume and liquidity provider contributions. The platform acknowledged allowing pre-launch address changes for high-volume users but emphasized its policy of fostering user participation. Critics, however, dismissed the response as vague and potentially AI-generated. The decentralized exchange also highlighted anti-Sybil measures in its “Cambrian” campaign, though the broader airdrop lacked such safeguards.

The timing of the airdrop and a subsequent 39 million token unlock on September 8, 2025, further fueled speculation of insider activity. During the unlock window, $2.15 million worth of MYX tokens were transferred to exchanges within hours, coinciding with a 135% price surge over 24 hours. Analysts noted that the unlock window aligned with a spike in perpetual futures trading volumes, which surged to $4.23 billion, and open interest that doubled to $262.1 million. Short liquidations exceeding $10 million in a single day were also reported, suggesting coordinated buying pressure.

MYX’s price volatility has drawn comparisons to similar speculative tokens. The token’s fully diluted valuation (FDV) reached $17 billion within 48 hours of the airdrop, despite a TVL of only $31.87 million and monthly revenue below $500,000. Critics argue that the rapid growth is inconsistent with the project’s fundamentals, pointing to inflated trading volumes and concentrated ownership. For instance, 12% of tokens remain uncirculated, with a single address holding 1.279 million MYX tokens ($2.15 million) at the peak.

The incident highlights broader vulnerabilities in decentralized finance (DeFi). A Chainalysis report revealed that wash trading in 2024 accounted for $2.57 billion in DEX volume, with a single address executing 54,000 repetitive trades. Pump-and-dump schemes rose to 4.52% of market activity in 2024, up from 3.59% in 2023. MYX’s case underscores the need for stronger anti-Sybil measures and transparency in token distribution models.

Regulatory scrutiny is intensifying as DeFi projects face calls for enhanced oversight. The U.S. Commodity Futures Trading Commission (CFTC) has already launched investigations into market manipulation cases, while industry experts warn of the risks posed by low-fee blockchains enabling coordinated attacks. MYX’s response, which balances open participation with future anti-Sybil commitments, may set a precedent for how projects navigate these challenges. For investors, the episode serves as a cautionary tale about the risks of low-liquidity, high-concentration assets and the importance of scrutinizing unlock schedules and on-chain activity.