Terra Scam Accounts Attempt To Capitalize On Hard Fork Uncertainty

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Terraform Labs’ Do Kwon had recently announced plans to fork the Terra chain into a new chain without the algorithmic stablecoin. The old chain will be called Terra Classic (Luna Classic – LUNC) and the new chain to be called Terra (LUNA). However, scam accounts have now emerged amid uncertainty over Terra’s fork.

Scam Accounts Create Another Problem for the Terra Community

Leading blockchain security company PeckShield reported in a tweet on May 18 that the Twitter account “Terra Luna Clasic $LUNC” is a honeypot scam. The tweet read:

“PeckShield has detected Terra Luna Classic $LUNC is honeypot. Do *NOT* fall prey to it! Terra 2.0 (or not) is still in Preliminary Vote.”

The scam Terra Classic Twitter account is trying to tempt LUNA and UST holders into the scam. The scammers claim the Terra Luna Clasic V2 $LUNC is already listed on Pancakeswap and holders of LUNA and UST tokens can get their compensation. Scammers suggest holders to buy LUNC on Pancakeswap for 2000 BUSD and 1 BNB. The scammer appears to be using BSC for scam operations.

On May 15, Terra Money’s official account warned users to be aware of scams originating amid Terra’s revival plan for LUNA and UST tokens. In fact, many scam accounts appeared on Twitter after the fall of LUNA and UST. The Terra community is already under deep crisis as many have lost their savings.

Actually, the governance voting for the fork of the Terra chain starts today, May 18. However, the Terra community seems to be against the fork of the Terra chain into a new chain. The uncertainty continues as a majority of Terra community members in preliminary voting have voted in opposition to the new revival plan by Do Kwon.

Do Kwon to Face Lawsuit for UST Collapse

South Korea’s top law firm LKB & Partners is considering filing a lawsuit against Terraform Labs’ founder Do Kwon and Terra’s co-founder Daniel Shin. Moreover, several LUNA and UST investors are planning to file a class-action lawsuit against Do Kwon. Meanwhile, Korean politician Yun Chang-Hyun has also reportedly called for a parliamentary hearing on Terra’s crisis.

Varinder is a Technical Writer and Editor, Technology Enthusiast, and Analytical Thinker. Fascinated by Disruptive Technologies, he has shared his knowledge about Blockchain, Cryptocurrencies, Artificial Intelligence, and the Internet of Things. He has been associated with the blockchain and cryptocurrency industry for a substantial period and is currently covering all the latest updates and developments in the crypto industry.
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.

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