Luna Yield goes offline few days after launching via Solana’s SolPad

  • Luna Yield DeFi protocol, whose IDO launched Tuesday via Solana’s SolPAD, has gone completely offline on all its public platforms.
  • All signs point to possible rug pulling as more than $6.4 million in liquidity has been drained.

Luna Yield decentralized finance protocol has gone completely offline on its website and all of its social media platforms. SolPAD, an initial digital offering (IDO) platform for Solana, reported this news early on Friday.

Additionally, over $6.7 million worth of nine different digital assets are presumed stolen, an anonymous source has revealed. This amount has been verified on the SOL scan blockchain explorer. The highest of these assets are $1.7 million in USDT and $1.5 million in ETH.

“The Solana ecological project Luna Yield deleted websites, Twitter, and Telegram and withdrew more than tens of millions of dollars in liquidity. The project used to conduct IDO at SolPAD” tweeted crypto industry media Wu Blockchain.

Luna Yield Rug Pull?

Many in the crypto community have already marked the move as a rug pull. This occurs when platform creators abandon their project and take off with the investors’ money. No official communication confirming this has been given. Nonetheless, this is likely to mark the first rug pull for the Solana network.

The source added that all the funds invested have disappeared and there is no way for them to be retrieved. “They moved all from Sol to Ether and then to the decentralized tornado cash service.” The latter is a non-custodial privacy solution that breaks the on-chain link between the source and destination addresses.

Notably, Solana has grown exponentially of late as big names such as Sam Bankman-Fried have invested heavily in Solana-based projects. Bankman-Fried is the CEO and founder of FTX crypto exchange whose actions point to a certain liking for Solana. Moreover, Solana Labs, whose mission is to advance the Solana ecosystem, recently raised $314 million to this effect. Venture capital firm Andreesen Horowitz and Polychain Capital led the investment round.

Solana and SolPAD responsibility

Importantly, Luna Yield was the second IDO on SolPAD and it just went live two days ago. SolPAD facilitates project fundraising via the decentralized Solana-based platform. In its Telegram channel, SolPAD said it was “collecting proof” on Luna Yield’s rug pull. The information found could make an “enormous impact on investors” and their community.

Additionally, the SolPAD team said it was doing everything it could to provide proof to all related parties. In particular, they want to give this information to centralized exchanges so that they can suspend and block funds.

“SolPAD Finance has no relation to the Luna Yield team,” the platform said.

We only host IDO for projects that submitted qualified documents. SolPAD assumes no responsibility or liability for any activity by the projects that held a public sale on SolPAD.

More so, SolPAD is rewarding anyone who might have information to aid in the tracking of the Luna Yield team.

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