The TAC team issued a statement on July 9, explaining the reason for the sharp decline in the token price over the past 24 hours.

Officials emphasized that there was no attack or hack, on-chain assets are safe, and the system is running normally. The tokens of the team and early investors are still under lock-up and vesting periods, with no possibility of unlocking at the current stage. Internal audits also found no additional minting or malicious behavior.

The main cause they cited was a large sell order on a perpetual contract, which triggered a chain of liquidations in an already thin liquidity market. The price impact further spread to the spot market, amplifying the decline.

In other words, this was more of a derivatives and market structure issue rather than a problem with code or asset security itself. TAC stated that it will introduce measures to strengthen market structure and deepen liquidity later in July, but specific plans have not yet been disclosed.

For traders, the next step is to observe whether these liquidity measures can actually be implemented, and whether large positions on perpetual contracts could still become the next source of cascade risk in similar thin-liquidity environments.