ASTRO token crashes 60% after Terra blockchain exploit

• Astroport (ASTRO) value nosedived 60% after Terra blockchain introduced a community halt.
• The halt adopted an exploit on Terra blockchain that noticed 60 million ASTRO, 3.5 million USDC and a couple of.7 BTC stolen.
• ASTRO value is presently at $0.02 after falling from highs of $0.046.

ASTRO, the native token of the Cosmos liquidity protocol Astroport, has nosedived greater than 60% because the neighborhood reacts to an exploit that noticed the Terra blockchain halt transactions.

On July 31, Terra blockchain introduced the short-term pause to operations at block peak 11430400, notifying customers of the downtime by way of a put up on X.

📣Consideration Terra customers: Please be suggested that the chain will probably be halted shortly at block peak 11430400 and transactions is not going to be processed throughout this time.

We will probably be working with the validators on Terra (phoenix-1) to use an emergency patch thereafter to remediate a…

— Terra 🌍 Powered by LUNA 🌕 (@terra_money) July 31, 2024

The Astroport workforce confirmed the incident, noting that the exploit could have been as a result of an IBC vulnerability.

“It seems an IBC vulnerability was exploited with the intention to mint a number of tokens on the Terra chain, together with $ASTRO. Because the chain has now halted, no additional tokens are in a position to be minted presently,” the Astroport Basis mentioned.

IBC is an inter-blockchain communication protocol that enables for authentication and switch of information throughout a number of chains. With the open-source protocol, customers can entry a number of decentralised functions and companies on completely different blockchains.

ASTRO value dives

The halt to the Terra chain got here as blockchain safety agency Cyvers revealed an exploit had led to the theft of 60 million ASTRO tokens. Notably, this additionally impacted different tokens, with 3.5 million USDC, 2.7 BTC and 500,000 USDT.

🚨ALERT🚨@terra_money was exploited, ensuing within the theft of roughly 60M $ASTRO, 3.5M $USDC, 500K $USDT, and a couple of.7 $BTC.

The attacker took benefit of a reentrancy vulnerability within the timeout callback of ibc-hooks.
This vulnerability was revealed in April of this 12 months.… https://t.co/56oTpg78Cv

— 🚨 Cyvers Alerts 🚨 (@CyversAlerts) July 31, 2024

Astroport (ASTOR) noticed an enormous dip in its native token’s value, with a pointy response pushing the token’s value from $0.046 to lows of $0.013. ASTRO value has returned to above $0.02 as the assorted groups work to patch the vulnerability.