Terraport, a decentralized financial initiative launched by TerraCVita, an independent Terra Classic development team, has been hacked, depleting all of its liquidity.
Over $4 million in LUNC, USTC, and TERRA tokens were destroyed, as reported by Terra Finder figures. The attacker spent 9,148,426 TERRA and 15.1 billion LUNC in the first transaction, and 576,736 TERRA and 5,487,381 USTC in the second.
The Terraport smart contract now has 2.8 million LUNCs worth $362 in its control. As of press time, the TerraCVita and Terraport teams had issued no formal announcements, fueling speculation that this was a hack or an elaborate Rug Pull operation.
Terraport raised suspicions on April 8 when it revealed that it had burned around 100 million LUNC tokens without retaining transaction records. The community expressed its concerns, pleading for the transactions to be made public.
After an epic first week at @_Terraport_ we are delighted to say $TERRA has helped to burn:
— Terraport Finance (@_Terraport_) April 7, 2023
From weekly burn of Treasury:
10,602,530 $LUNC 🔥
4079 $TERRA 🔥
Burn on-chain:
84,000,000+ $LUNC 🔥
101,000+ $USTC 🔥
This is the start as volume and price increases so should burns… pic.twitter.com/EkDr3c3F5n
Classy Crypto, a TerraCVita core member, recognized the assault on Twitter but distanced himself from it, alleging that he received no tokens or compensation and that his loved ones lost thousands of dollars as a result of the crime.
Update from the @TerracVita team pic.twitter.com/lqunTzVoWT
— Classy 🔮 (@ClassyCrypto_) April 10, 2023
He also removed his TerraCVita link from his Twitter profile and deleted any previous Terraport tweets.
As stated by ReXx, a popular Terra Classic forum member, a portion of the funds withdrawn to MEXC Global, totaling $124,000, were frozen by the exchange following an alert. He stated that he is working with other exchanges to put the remaining assets on hold.
Terraport just got hacked / rugged
— Crypto Susanna (@LUNCDAO) April 10, 2023
Sad news for all $TERRA holders who just lost everything in a split second
Hopefully now you understand why I advised caution and said it should have been audited
All funds gone:https://t.co/0RcAvbQsm7https://t.co/bRLVclcIt5
Terraport is a platform powered by the Terra Classic blockchain that includes a number of DeFi solutions, the most notable of which is the native DEX, which allows users to trade tokens fast and easily through a simple interface. It has been deliberately designed to make the best advantage of Terra Classic's Layer1 features, which are known to be faster and more scalable than alternatives.
Terraport is powered by the TERRA token, which serves as a utility asset, and a Decentralized Autonomous Organization (DAO) that allows its community to make decisions.