Lucky user makes almost $1 million because of simple exploit
After the launch of Luna 2.0, some lucky users got “free” $800,000 thanks to the bug that occurred in the Anchor Protocol lending and borrowing platform. Here’s how it went.
Reportedly, the price oracle of LUNC (Luna Classic) went to $5 despite the price of the actual assets being significantly lower than $5. One of the users on Anchor’s platform noticed the bug and deposited around 20 million Lido Bonded Luna tokens, which was considered $100 million by the platform.
The actual value of the funds deposited should have been approximately $200,000. After noticing the problem, a user took out a loan of 40 million UST and withdrew it with a huge profit of $800,000.
Other users also noticed the issue with the price oracle on the platform and tried to exploit it but faced an error almost immediately. The platform’s team was fast enough to fix the bug and avoid additional losses.
Some users even accused Do Kwon himself of pulling off an exploit since he is the only one capable of doing such a thing on purpose.
The whole cryptocurrency market was waiting for the final launch of Luna 2.0, but Do Kwon’s attempt to revive the network ended up as another catastrophe as the new token lost 70% of its value out of the gate, causing even more controversy in the community considering only a small portion of funds were unlocked and more selling pressure is expected to reach the market.
Traders and investors are still calling the co-founder of Terra, assuming he is the one responsible for the 100% crash of the Luna token and the de-pegging of the UST stablecoin.
