Luna Yield Rug Pull - Revision history

Azoundria at 21:52, 10 May 2024

2024-05-10T21:52:11Z

← Older revision		Revision as of 15:52, 10 May 2024
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	[[File:Lunayield.jpg\|thumb\|Luna Yield]]Luna Yield was another yield optimizing service, where users provided liquidity in a smart contract hot wallet. After the smart contract was exploited, the anonymous team provided affected users 60% of their invested USDC back. Social media accounts were also deleted.		[[File:Lunayield.jpg\|thumb\|Luna Yield]]Luna Yield was another yield optimizing service, where users provided liquidity in a smart contract hot wallet. After the smart contract was exploited, the anonymous team provided affected users 60% of their invested USDC back. Social media accounts were also deleted.

	This is a global/international case not involving a specific country.<ref name="newsdotbitcoin-3216" /><ref name="solpadfinancemedium-3217" /><ref name="smartliquidity-3218" /><ref name="solanazone-3219" /><ref name="financesolpadtwitter-3220" />		This is a global/international case not involving a specific country.<ref name="newsdotbitcoin-3216" /><ref name="solpadfinancemedium-3217" /><ref name="smartliquidity-3218" /><ref name="solanazone-3219" /><ref name="financesolpadtwitter-3220" /><ref name="comparitech-10032" />

	== About Luna Yield ==		== About Luna Yield ==
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	<ref name="solanazone-3219">[https://solana.zone/projectspotlight/luna-yield-the-one-stop-cross-chain-defi-solution/ Luna Yield - The One-Stop Cross-Chain Defi solution - Solana Zone] (Aug 21, 2021)</ref>		<ref name="solanazone-3219">[https://solana.zone/projectspotlight/luna-yield-the-one-stop-cross-chain-defi-solution/ Luna Yield - The One-Stop Cross-Chain Defi solution - Solana Zone] (Aug 21, 2021)</ref>

	<ref name="financesolpadtwitter-3220">[https://twitter.com/FinanceSolpad/status/1429773537712033808 @FinanceSolpad Twitter] (Sep 20, 2021)</ref></references>		<ref name="financesolpadtwitter-3220">[https://twitter.com/FinanceSolpad/status/1429773537712033808 @FinanceSolpad Twitter] (Sep 20, 2021)</ref>

			<ref name="comparitech-10032">[https://www.comparitech.com/crypto/cryptocurrency-scams/ Worldwide crypto & NFT rug pulls and scams tracker - Comparitech] (Dec 15, 2022)</ref></references>

Azoundria at 01:28, 4 May 2023

2023-05-04T01:28:19Z

← Older revision		Revision as of 19:28, 3 May 2023
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	{{Imported Case Study\|source=https://www.quadrigainitiative.com/casestudy/lunayieldrugpull.php}}		{{Imported Case Study 2\|source=https://www.quadrigainitiative.com/casestudy/lunayieldrugpull.php}}
	{{Unattributed Sources}}		{{Unattributed Sources}}

	[[File:Lunayield.jpg\|thumb\|Luna Yield]]Luna Yield was another yield optimizing service, where users provided liquidity in a smart contract hot wallet. After the smart contract was exploited, the anonymous team provided affected users 60% of their invested USDC back. Social media accounts were also deleted.		[[File:Lunayield.jpg\|thumb\|Luna Yield]]Luna Yield was another yield optimizing service, where users provided liquidity in a smart contract hot wallet. After the smart contract was exploited, the anonymous team provided affected users 60% of their invested USDC back. Social media accounts were also deleted.

	This is a global/international case not involving a specific country.		This is a global/international case not involving a specific country.<ref name="newsdotbitcoin-3216" /><ref name="solpadfinancemedium-3217" /><ref name="smartliquidity-3218" /><ref name="solanazone-3219" /><ref name="financesolpadtwitter-3220" />
	<ref name="newsdotbitcoin-3216" /><ref name="solpadfinancemedium-3217" /><ref name="smartliquidity-3218" /><ref name="solanazone-3219" /><ref name="financesolpadtwitter-3220" />

	== About Luna Yield ==		== About Luna Yield ==
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	!Description		!Description
	\|-		\|-
	\|August 21st, 2021 ~~12:00:00 AM~~		\|August 21st, 2021
	\|Main Event		\|Main Event
	\|Expand this into a brief description of what happened and the impact. If multiple lines are necessary, add them here.		\|Expand this into a brief description of what happened and the impact. If multiple lines are necessary, add them here.
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	\|		\|
	\|}		\|}

			== Technical Details ==
			This section includes specific detailed technical analysis of any security breaches which happened. What specific software vulnerabilities contributed to the problem and how were they exploited?

	== Total Amount Lost ==		== Total Amount Lost ==
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	== Ongoing Developments ==		== Ongoing Developments ==
	What parts of this case are still remaining to be concluded?		What parts of this case are still remaining to be concluded?
			== General Prevention Policies ==
			The only truly secure storage of assets is an offline multi-sig wallet. Protocols run by known teams could explore options where most funds are in cold storage when not in use. In the future, it's very likely that insurance protocols will reduce some of the risk.
			== Individual Prevention Policies ==
			{{Prevention:Individuals:Placeholder}}

			{{Prevention:Individuals:End}}

			== Platform Prevention Policies ==
			{{Prevention:Platforms:Placeholder}}

			{{Prevention:Platforms:End}}

			== Regulatory Prevention Policies ==
			{{Prevention:Regulators:Placeholder}}

	== Prevention ~~Policies ==~~		{{Prevention:Regulators:End}}
	The only truly secure storage of assets is an offline multi-sig wallet. Protocols run by known teams could explore options where most funds are in cold storage when not in use. In the future, it's very likely that insurance protocols will reduce some of the risk.

	== References ==		== References ==

Azoundria at 03:57, 23 February 2023

2023-02-23T03:57:46Z

← Older revision		Revision as of 21:57, 22 February 2023
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	{{Imported Case Study\|source=https://www.quadrigainitiative.com/casestudy/lunayieldrugpull.php}}		{{Imported Case Study\|source=https://www.quadrigainitiative.com/casestudy/lunayieldrugpull.php}}
			{{Unattributed Sources}}

	[[File:Lunayield.jpg\|thumb\|Luna Yield]]Luna Yield was another yield optimizing service, where users provided liquidity in a smart contract hot wallet. After the smart contract was exploited, the anonymous team provided affected users 60% of their invested USDC back. Social media accounts were also deleted.		[[File:Lunayield.jpg\|thumb\|Luna Yield]]Luna Yield was another yield optimizing service, where users provided liquidity in a smart contract hot wallet. After the smart contract was exploited, the anonymous team provided affected users 60% of their invested USDC back. Social media accounts were also deleted.

	This is a global/international case not involving a specific country.		This is a global/international case not involving a specific country.
			<ref name="newsdotbitcoin-3216" /><ref name="solpadfinancemedium-3217" /><ref name="smartliquidity-3218" /><ref name="solanazone-3219" /><ref name="financesolpadtwitter-3220" />

	== About Luna Yield ==		== About Luna Yield ==
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	== References ==		== References ==
	[https://news.bitcoin.com/solana-based-defi-protocol-luna-yield-reportedly-rug-pulls-investors-6-7-million-taken/ Solana-Based Defi Protocol Luna Yield Reportedly 'Rug Pulls' Investors, $6.7 Million Taken – Defi Bitcoin News] (Aug 20)		<references><ref name="newsdotbitcoin-3216">[https://news.bitcoin.com/solana-based-defi-protocol-luna-yield-reportedly-rug-pulls-investors-6-7-million-taken/ Solana-Based Defi Protocol Luna Yield Reportedly 'Rug Pulls' Investors, $6.7 Million Taken – Defi Bitcoin News] (Aug 21, 2021)</ref>

	[https://solpadfinance.medium.com/the-second-launchpad-project-luna-yield-30b57caa0b1d The Second Launchpad Project Luna Yield] (Aug 20)		<ref name="solpadfinancemedium-3217">[https://solpadfinance.medium.com/the-second-launchpad-project-luna-yield-30b57caa0b1d The Second Launchpad Project Luna Yield] (Aug 21, 2021)</ref>

	[https://smartliquidity.info/2021/08/11/luna-yield-ido-on-moon-launch/ Luna Yield IDO on Moon Launch - Smart Liquidity Network] (Aug 20)		<ref name="smartliquidity-3218">[https://smartliquidity.info/2021/08/11/luna-yield-ido-on-moon-launch/ Luna Yield IDO on Moon Launch - Smart Liquidity Network] (Aug 21, 2021)</ref>

	[https://solana.zone/projectspotlight/luna-yield-the-one-stop-cross-chain-defi-solution/ Luna Yield - The One-Stop Cross-Chain Defi solution - Solana Zone] (Aug 20)		<ref name="solanazone-3219">[https://solana.zone/projectspotlight/luna-yield-the-one-stop-cross-chain-defi-solution/ Luna Yield - The One-Stop Cross-Chain Defi solution - Solana Zone] (Aug 21, 2021)</ref>

	[https://twitter.com/FinanceSolpad/status/1429773537712033808 @FinanceSolpad Twitter] (Sep 19)		<ref name="financesolpadtwitter-3220">[https://twitter.com/FinanceSolpad/status/1429773537712033808 @FinanceSolpad Twitter] (Sep 20, 2021)</ref></references>

Azoundria: Created page with "{{Imported Case Study|source=https://www.quadrigainitiative.com/casestudy/lunayieldrugpull.php}} Luna YieldLuna Yield was another yield optimizing service, where users provided liquidity in a smart contract hot wallet. After the smart contract was exploited, the anonymous team provided affected users 60% of their invested USDC back. Social media accounts were also deleted. This is a global/international case not involving a specific country..."

2023-01-27T21:19:16Z

Created page with "{{Imported Case Study|source=https://www.quadrigainitiative.com/casestudy/lunayieldrugpull.php}} thumb|Luna YieldLuna Yield was another yield optimizing service, where users provided liquidity in a smart contract hot wallet. After the smart contract was exploited, the anonymous team provided affected users 60% of their invested USDC back. Social media accounts were also deleted. This is a global/international case not involving a specific country..."

New page

{{Imported Case Study|source=https://www.quadrigainitiative.com/casestudy/lunayieldrugpull.php}}

[[File:Lunayield.jpg|thumb|Luna Yield]]Luna Yield was another yield optimizing service, where users provided liquidity in a smart contract hot wallet. After the smart contract was exploited, the anonymous team provided affected users 60% of their invested USDC back. Social media accounts were also deleted.

This is a global/international case not involving a specific country.

== About Luna Yield ==
"Luna Yield, a One-stop cross-chain DeFi solution, aiming to bring better DeFi performance and experiences to the end-users. Luna Yield’s products focus on delivering outstanding security, performance, and user experience to the DeFi space." "Our yield-optimizing vaults allow users to compound the yield from their crypto assets and LP tokens. Luna Vaults will automatically maximize user rewards from different liquidity pools by compounding arbitrary yield farm reward tokens back into the initially deposited asset. Luna Vaults runs on both Solana and Binance Smart Chain, automatically optimize yield from both."

"Luna Yield was originally built on the Solana blockchain due to the speed and reduced costs that it promises. However, with time Luna Yield has now incorporated other chains such as Polygon, Ethereum, and Polygon Binance Smart Chain on top of Solana and benefit from the features that every chain provides. Luna Yield is open source and fully decentralized to help end-users leverage on profits while using decentralized finance across different platforms." "Powered by Polygon, Solana, Ethereum, and Binance Smart Chain, Luna Yield is fully decentralized and open-source, helping users to leverage their assets across platforms."

"The Luna Yield team was anonymous."

"The world of defi has reportedly seen another rug pull but this time in the Solana blockchain ecosystem, according to numerous reports. Solana’s website that had a page dedicated to describing the Luna Yield decentralized exchange (dex) aggregator protocol now shows a 404 error. The aggregator project promised high yields and then suddenly the platform went dark and users could not access the funds locked into the dex aggregator."

"A decentralized finance (defi) project that utilizes the Solana blockchain called Luna Yield has allegedly committed a “rug pull,” according to various individuals on social media. Reports indicate that the investors who put funds into the project lost an estimated $6.7 million according to an “anonymous source.”"

"The platform that helped launch the Luna Yield IDO, Solpad detailed that the project would help compensate IDO participants who were affected. “After internal discussion within Solpad Foundation, we have finalized the compensation plan for Luna Yield IDO participants,” the team tweeted. “We will sort out the list and directly [distribute] the compensation into the participant’s wallet (the same wallet that joined the IDO on August 16th. We will compensate users in USDC, with a value equal to 60% of the purchased amount.”"

"For example, if user A bought 400 USDC of allocation in the round, he will get 400*60% = 240 USDC, airdrop directly user A wallet. The distribution will start next week, and we expect it to finish within a few days. Thank you so much for being so patient with us."

"The refunding process for Luna Yield IDO's participants is now finished. Please check your wallet, and if you haven't received the 60% remaining USDC, don't hesitate to get in touch with us. Thank you for your trust and patient."

This is a global/international case not involving a specific country.

The background of the exchange platform, service, or individuals involved, as it would have been seen or understood at the time of the events.

Include:

* Known history of when and how the service was started.
* What problems does the company or service claim to solve?
* What marketing materials were used by the firm or business?
* Audits performed, and excerpts that may have been included.
* Business registration documents shown (fake or legitimate).
* How were people recruited to participate?
* Public warnings and announcements prior to the event.

Don't Include:
* Any wording which directly states or implies that the business is/was illegitimate, or that a vulnerability existed.
* Anything that wasn't reasonably knowable at the time of the event.
There could be more than one section here. If the same platform is involved with multiple incidents, then it can be linked to a main article page.

== The Reality ==
This sections is included if a case involved deception or information that was unknown at the time. Examples include:

* When the service was actually started (if different than the "official story").
* Who actually ran a service and their own personal history.
* How the service was structured behind the scenes. (For example, there was no "trading bot".)
* Details of what audits reported and how vulnerabilities were missed during auditing.

== What Happened ==
The specific events of the loss and how it came about. What actually happened to cause the loss and some of the events leading up to it.
{| class="wikitable"
|+Key Event Timeline - Luna Yield Rug Pull
!Date
!Event
!Description
|-
|August 21st, 2021 12:00:00 AM
|Main Event
|Expand this into a brief description of what happened and the impact. If multiple lines are necessary, add them here.
|-
|
|
|
|}

== Total Amount Lost ==
The total amount lost has been estimated at $6,700,000 USD.

How much was lost and how was it calculated? If there are conflicting reports, which are accurate and where does the discrepancy lie?

== Immediate Reactions ==
How did the various parties involved (firm, platform, management, and/or affected individual(s)) deal with the events? Were services shut down? Were announcements made? Were groups formed?

== Ultimate Outcome ==
What was the end result? Was any investigation done? Were any individuals prosecuted? Was there a lawsuit? Was any tracing done?

== Total Amount Recovered ==
There do not appear to have been any funds recovered in this case.

What funds were recovered? What funds were reimbursed for those affected users?

== Ongoing Developments ==
What parts of this case are still remaining to be concluded?

== Prevention Policies ==
The only truly secure storage of assets is an offline multi-sig wallet. Protocols run by known teams could explore options where most funds are in cold storage when not in use. In the future, it's very likely that insurance protocols will reduce some of the risk.

== References ==
[https://news.bitcoin.com/solana-based-defi-protocol-luna-yield-reportedly-rug-pulls-investors-6-7-million-taken/ Solana-Based Defi Protocol Luna Yield Reportedly 'Rug Pulls' Investors, $6.7 Million Taken – Defi Bitcoin News] (Aug 20)

[https://solpadfinance.medium.com/the-second-launchpad-project-luna-yield-30b57caa0b1d The Second Launchpad Project Luna Yield] (Aug 20)

[https://smartliquidity.info/2021/08/11/luna-yield-ido-on-moon-launch/ Luna Yield IDO on Moon Launch - Smart Liquidity Network] (Aug 20)

[https://solana.zone/projectspotlight/luna-yield-the-one-stop-cross-chain-defi-solution/ Luna Yield - The One-Stop Cross-Chain Defi solution - Solana Zone] (Aug 20)

[https://twitter.com/FinanceSolpad/status/1429773537712033808 @FinanceSolpad Twitter] (Sep 19)