Terraport Finance is a decentralized finance (DeFi) platform operating on the Terra Classic network. However, they are suffering a loss of more than $2 million in digital assets following an exploit on its liquidity wallet. The team at Terraport is currently investigating the breach and taking measures to secure the protocol, as announced on the project’s official Twitter handle on April 10.
The hack of the wallet happened just 10 days after Terraport Finance was launched. The DeFi platform was created by TerraCVita, a developer group, with the aim of reviving the Terra Luna Classic ecosystem by increasing the burn rate of Luna Classic (LUNC) tokens.
Terraport Finance enables users to exchange their Terra and UST tokens for LUNC tokens, which are then burned. In the first week following its launch, the platform burned 100 million LUNC tokens, demonstrating its dedication to revitalizing the network after its collapse in May. However, the recent exploit on Terraport’s liquidity wallet resulted in the loss of LUNC and USTC tokens. The exact amount of tokens lost is still unknown. Furthermore, we are still waiting for the project team to release a detailed report on the incident.
MEXC Taking Actions to Block Stolen Funds
Shortly after the hack, Rajia Bibi, a Twitter user, reached out to Changpeng Zhao (CZ), the CEO of Binance. She was requesting that the exchange freeze the funds stolen from Terraport that had been deposited on its platform. Bibi also contacted the crypto trading platform MEXC, requesting similar actions.
In response, CZ advised Bibi to go through the appropriate Binance team as he was a “slow middleman”. He also added that the situation could be resolved faster that way. The CEO eventually disclosed that although some of the stolen funds were deposited at crypto exchanges KuCoin and MEXC, none had been transferred to Binance.
Meanwhile, MEXC also released a statement soon after on Twitter. They are working closely with Binance to freeze any illicit assets as quickly as possible. Furthermore, MEXC has a track record of taking swift action against unlawful activities. They were also collaborating with other exchanges in the past to combat illegal behaviors and promote the healthy growth of the industry.
Personal Note From MEXC Team
MEXC is not a place that permits illicit funds and hacks. We will do all we can to provide a safe and comfortable community. In the meantime, check out our MEXC trading page and find out what we have to offer! Do not miss out on the golden window. You can learn more about crypto industry news and interesting articles to get you up to speed with the crypto world. Happy trading!
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