Plasma Labs Confirms No Token Sales Amid XPL Price Drop
Plasma Labs addressed rumors after its XPL token faced heavy selling pressure. On October 2, 2025, the company stated no team members or investors sold any tokens. All XPL allocations remain locked for three years with a one-year cliff. Plasma Labs also denied any connection with Wintermute, a major market maker, saying it never contracted with them.
Paul, a Plasma co-founder, said, “No team members have sold any XPL. All investor and team XPL is locked for 3 years with a 1-year cliff.” He added some team members previously worked at Blur and Blast, while others come from Google, Facebook, Goldman Sachs, and Temasek.
XPL Price Shows Key Support at $0.85
XPL’s price dropped over 40% from its peak, showing sharp volatility. Analyst Luke Martin highlighted the $0.85 level as critical. The TradingView chart shows a pattern of lower highs and lower lows. However, buyers defended the $0.85 support, causing a price bounce.
Martin said, “This is the first $XPL setup since the selloff started that looks appealing for a bounce.” He noted the team’s confirmation of no token sales helped improve market sentiment. Resistance remains near $1.01, which must be broken to shift momentum. Until then, the price may stay range-bound.
Trader Machi Big Brother Faces $11M Loss on XPL
Celebrity trader Jeffrey “Machi Big Brother” Huang suffered heavy losses on Hyperliquid. Two weeks ago, his 5x leveraged XPL long position showed $44 million in profit. Now, it has an unrealized loss of $10.9 million, with liquidation risk at $0.4555.
Huang also holds a 15x leveraged Ether long worth $1.2 million, currently showing over $500,000 in unrealized profit.
XPL remains at a critical price point. Plasma Labs’ clear token lock policy may help restore trust. However, the token’s volatility continues to pose risks for investors.
