DWF Labs co-founder responds to DEXE sell-off rumors: Selling spot to increase cash reserves due to negative funding rates leading to hedging and liquidation

DWF Labs co-founder Andrei Grachev published a response to recent market speculation regarding DEXE trading, stating that the relevant transactions can be verified through centralized exchanges. Grachev indicated that the DWF Labs DEXE trading process is as follows: a large purchase of DEXE in 2024, partial selling for profit in 2025, another large purchase of DEXE around October 10, hedging profits in the first half of 2026, and when the funding rate turned negative, being forced to close short positions and increasing cash reserves by selling part of the DEXE spot.

Grachev stated that all buying and selling operations were completed through centralized exchanges, where the trading platform holds relevant account information, and criticized some paid KOLs for spreading "misleading information."