### Terra Crash Mastermind Exposed#
Hot Topic Overview
Overview
The Terra collapse may not have been solely orchestrated by Do Kwon, but rather by an unidentified third party. Jacob Gadikian, founder of Notional Labs, points out that the attacker initiated over 70,000 failed transactions from multiple addresses, causing network congestion and hindering Terra's mechanism to restore the UST stablecoin. The attacker utilized bot trading to arbitrage heavily during the UST de-pegging, ultimately leading to the collapse of the Terra ecosystem. Currently, the true mastermind remains at large, while Terra founder Do Kwon faces extradition to the United States.
Ace Hot Topic Analysis
Analysis
The mastermind behind the Terra collapse has been exposed, with Notional Labs founder Jacob Gadikian suggesting that the crash of the Terra algorithmic stablecoin was likely the result of a coordinated attack. Attackers initiated over 70,000 failed transactions from a small number of addresses, causing congestion in the validator nodes' memory pool and hindering Terra's ability to restore the UST peg. During the UST de-pegging, on-chain transaction volume surged sixfold, with a significant number of bot trades further exacerbating the collapse. Gadikian also showcased a video of a Cosmos hub testnet under attack, demonstrating a striking resemblance to the events surrounding the UST de-pegging. Currently, the true perpetrators remain at large, while Terra founder Do Kwon faces extradition to the United States on charges of orchestrating a fraud that resulted in nearly $50 billion in losses. This incident highlights the vulnerability of even seemingly secure algorithmic stablecoins to attacks, where perpetrators can exploit technical loopholes and market manipulation to achieve their objectives.
Public Sentiment · Discussion Word Cloud
Public Sentiment
Discussion Word Cloud
Classic Views
Terra's collapse may have been caused by a coordinated attack orchestrated by an unknown third party.
The attackers clogged the Terra network with a large number of bot trades and malicious transactions, causing UST to depeg.
The attackers initiated over 70,000 failed transactions from a small number of addresses, leading to congestion in the validator node memory pool.
Terra's collapse was not solely caused by Do Kwon, the real mastermind is still at large.