While the Terra crisis seems endless, opportunists are trying to gain profit from it. A blockchain analyst firm, Peckshield raised a red flag for investors about the newly created honeypot that is faking itself as a “Terra Luna Classic” (LUNC) on Binance Smart Chain (BSC).
The incident just came after Terraform’s co-founder Do Kwon announced to implement a hard fork on the Terra chain. As per the hard fork mechanism, it will split the main Terra chain into two different chains: Terra and Terra Classic.
“Do NOT connect your wallet! Terra 2.0 (or not) is still in Preliminary Vote,” warned Peckshield.
The voting for the hard fork proposal was commended on May 18, which is still going to be active for the next 6 days. At the time of writing, over 80% of votes by LUNA token holders have been submitted in the favor of fork.
The Terra LUNA Classic honeypot is being operated from the phishing website entitled v2terra.com. Luckily, at the time of writing, the website has been freezed.
However, the LUNC honeypot present on the Binance Smart Chain has been actively traded on the crypto exchange, Pancakeswap. The data reflected on the exchange shows the total trading volume of LUNC topped $135,000 over the past 24 hours.
The honeypot is a short of phishing scam in which the deployed smart contract snatch funds from users through an enticing scheme like 2 ETH in return for 1 ETH. But after users send their tokens to the smart contract, it will be locked forever and only the creator can access it.
