ZachXBT Accuses Bitget Executives of Enabling $480M LAB Token Scam

Crypto investigator ZachXBT has accused executives at the exchange Bitget of enabling fraudulent activity after 10 new wallets withdrew $480 million worth of LAB tokens from the platform. The staggering withdrawal, which accounted for 32.26% of the circulating LAB supply, occurred over a 12-hour period.

Allegations of Coordinated Market Manipulation

The issuer of the LAB token, a crypto trading infrastructure firm that claims to operate an “AI research engine,” has been linked to suspicious trading activity. Fellow crypto investigator Specter Analyst reported that the LAB team allegedly deposited millions of dollars’ worth of the token to Bitget before a price surge in early May. These actions have raised suspicions of a coordinated pump-and-dump scheme, with allegations that Bitget may have profited from the activity.

ZachXBT further alleged that Shawn Liu, the founder of Bitget, serves as the exchange’s “big boss” and is complicit in enabling these alleged scams. Meanwhile, Gracy Chen, Bitget’s CEO, was described as the public face of the exchange’s operations.

Withdrawals Detected by Crypto Analysts

On May 12, 2026, crypto analysts at Lookonchain identified the LAB withdrawals from Bitget. The data showed that the 10 wallets collectively moved 100 million LAB tokens, valued at approximately $480.33 million, representing 32.26% of the circulating supply.

ZachXBT Labels Bitget a “Cartel” and Warns of Increased Scrutiny

ZachXBT described Bitget as a “cartel” that has operated “unchallenged for years” due to its alleged disregard for fraudulent activity as long as it benefits the exchange. He warned that public attacks against Bitget are likely to escalate.

The investigator previously offered a $10,000 bounty for insider information related to Vova Sadkov, the alleged founder of LAB, as well as details about the token’s listings on Bitget and other major exchanges, including Bybit, Binance, and OKX. In a statement, ZachXBT said,

“These grifters are further hurting the industry reputation and it must not go unpunished.”

Bitget’s History of Controversial Listings

This is not the first time Bitget has faced scrutiny over suspicious token listings. In April, the exchange’s $RAVE token raised concerns of insider trading after its trading volume exceeded $300 million and its price subsequently crashed by 97% within days. Multiple exchanges, including Bitget, announced investigations, but ZachXBT criticized the response time as inadequate.

On May 7, 2026—20 days after Bitget CEO Gracy Chen promised an investigation into the $RAVE listing—ZachXBT noted that no updates had been provided regarding the probe.

Regulatory Troubles and Past Suspensions

Bitget has also faced regulatory challenges. In 2021, Singaporean regulators suspended the exchange for refusing to delist a token themed around the South Korean boy band BTS due to the use of unlicensed images.

Protos has reached out to Bitget for comment regarding the LAB token withdrawals and will update the article if a response is received.

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