XPL was officially launched on September 25 alongside Plasma’s mainnet beta. The Layer 1 blockchain is designed to make stablecoin payments faster and cheaper. Following the launch, XPL spiked to nearly $1.70 on Sunday but steadily declined to $0.83 by Wednesday, losing more than 50% of its value. 

Community Speculation and On-Chain Analysis 

The price drop prompted the community to investigate XPL token flows on-chain. Independent researcher ManaMoon noted movements from the Plasma treasury, reporting that over 600 million XPL were sent to exchanges before the launch. 

Community members suggested that these movements could have created selling pressure beyond retail buyers’ capacity. One user, crypto_popseye, blamed both the team and algorithmic trading firm Wintermute for the price drop. 

However, Faecks clarified that Plasma never used Wintermute as a market maker and has no service contract with them. “We have the same public information regarding Wintermute’s XPL holdings,” he added. 

Team Statements and Community Reaction 

Faecks reaffirmed that the team did not sell any tokens and remains focused on building the future of the project. Some community members criticized his statement, noting that the status of other token categories, such as ecosystem and growth tokens, remains unclear. 

Team sales were denied; only investor allocations are active. 

Community examined ecosystem and growth tokens closely. 

Faecks stated the team is focused solely on the project and will provide no further comments. 

These developments are fueling speculation around XPL price movements and Plasma team transparency, as investors continue to monitor token flows closely. 

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