As reported a couple of hours ago, the team behind the blockchain underway Terra 2.0 appeared to send the new LUNA 2.0 to addresses of crypto founders, CEOs, and influencers, including Vitalik Buterin (Ethereum co-founder), Justin Sun (Tron Founder and CEO), and the wallet of the 3AC foundation.
However, it was later discovered that it’s all fake because of the exploit used by scammers, according to PeckShield, an Ethereum block explorer.
As stated in the report, the Wrapped LUNA 2.0 contract address issued millions of Luna 2.0 tokens and transferred them to the official addresses of Vitalik Buterin, Three Arrows Capital, Justin Sun, and other crypto big guns.
According to PeckShield, these Wrapped LUNA 2.0 tokens were sent to an official Terra deployer and airdropped to the addresses of crypto influencers mentioned above.
PeckShield tweeted, “#PeckShieldAlert PeckShield has detected Scammers sending Wrapped LUNA 2.0 to #Terra Deployer Etherscan.io/token and airdropping to @VitalikButerin @a16z #ThreeArrowsCapital @justinsuntron @terra_money. It tricks folks it is the official #Terra Deployer #airdrop. Be Alert!”
#PeckShieldAlert PeckShield has detected Scammers sending Wrapped LUNA 2.0 to #Terra Deployer https://t.co/i590fG1nnp and airdropping to @VitalikButerin @a16z #ThreeArrowsCapital @justinsuntron @terra_money.
It tricks folks it is the official #Terra Deployer #airdrop. Be Alert! pic.twitter.com/Scz1RKKOl8
— PeckShieldAlert (@PeckShieldAlert) May 26, 2022
What Were the Con Artists Thinking?
The major target of the con artists is to make users think that the Wrapped LUNA 2.0 address is an official deployer of Terra 2.0 tokens and trick them to send their real funds to the smart contract addresses.
The scammers chose the addresses of the aforementioned crypto influencers, especially Buterin’s ENS address vitalik.eth, to make the contract page look more credible, attracting regular users to swap their massively devalued Luna tokens to a new version.
Following the crash of TerraUSD (UST) and Terra (LUNA), DO Kwon, the co-founder and CEO of Terraform Labs, made a proposal for the creation of a new blockchain to save the affected holders.
Despite that the vote conducted for about a week on Terra’s governance platform ended in favor of the proposal, many users are still unhappy with the decision. Some of them think Terra validators should have worked to revive the current chain instead of opting to create a new one.