Deep Dive
1. Unauthorized Sell-Off (20 November 2025)
Overview:
A market maker liquidated $NIL tokens without Nillion’s consent on 20 November 2025, crashing the price from $0.21 to $0.086 (-59% intraday). Daily volume spiked 680% to $200M as panic selling ensued. The team initiated emergency buybacks (1.1M $NIL repurchased), froze associated accounts, and launched legal action.
What this means:
This is bearish short-term due to eroded trust and sell pressure, but the team’s rapid response (transparency via X post) and planned long-term buybacks signal damage control. The 36% weekly drop to $0.118 (as of 6 Dec 2025) reflects lingering skepticism.
2. Ethereum Migration Plan (14 November 2025)
Overview:
Nillion revealed plans to migrate its “Blind Computer” privacy tech to Ethereum by February 2026. The move aims to integrate encrypted computation/storage directly into Ethereum smart contracts, leveraging its ecosystem for developer adoption.
What this means:
This is bullish long-term, as Ethereum’s 500K+ developers could adopt Nillion’s privacy tools without learning new protocols. However, the migration’s success hinges on seamless ERC-20 token bridging and staking utility rollouts in 2026 (Bit2Me).
3. Uniswap Listing (14 November 2025)
Overview:
$NIL launched on Uniswap with ETH/USDC pairs, broadening decentralized trading access. Liquidity surged post-listing, though volatility spiked during the sell-off.
What this means:
Neutral-to-bullish: Enhanced liquidity reduces slippage, but high turnover (0.508 ratio) suggests speculative trading dominates. Monitor volume sustainability post-crisis (John Woods).
Conclusion
Nillion faces a credibility test after the market-maker incident but counters with strategic Ethereum integration and liquidity upgrades. While the $0.07 price (6 Dec 2025) reflects bearish sentiment, the project’s privacy tech roadmap offers recovery potential. Can Nillion stabilize trust while executing its 2026 Ethereum vision?