TAC, the native token of TAC Protocol, fell more than 90% in roughly 15 minutes after listing on Binance Alpha. The token dropped to around $0.0063 during the sell-off, with some market data showing a deeper decline toward $0.0046 after trading near $0.06. The crash occurred after TAC was listed on Binance Alpha and offered through Binance Futures as a TAC/USDT perpetual contract with up to 50x leverage. Reports attributed the decline to heavy token selling by airdrop recipients into limited market depth, combined with forced liquidations of leveraged long positions. TAC Protocol is an EVM-compatible blockchain project designed to connect Ethereum decentralized applications with the TON and Telegram ecosystem, and previously raised $11.5 million across seed and strategic rounds from backers including TON Ventures, Hack VC, Animoca Ventures, Symbolic Capital and Spartan Group.
Airdrop Selling Combined with 50x Leverage Perpetuals
Reports said the crash was driven by heavy token selling shortly after the Binance Alpha listing, with some analysts pointing to airdrop recipients dumping allocations into limited market depth. There was no confirmed new hack or smart contract exploit linked to the price collapse at the time of reporting. Binance Futures offered TAC/USDT perpetual trading with up to 50x leverage. Forced liquidations of leveraged long positions added another layer of market selling, accelerating a decline that began with spot exits. The scale of the decline occurred despite institutional backing from venture firms.
TAC Protocol Suffered $2.8 Million Exploit in May
In May, the project suffered a $2.8 million cross-chain exploit affecting its TON-Ethereum bridging layer. Reports at the time said the team recovered about 90% of the funds through negotiations with the attacker. The episode weakened confidence in the protocol's risk controls.
Venture Capital Backers Include TON Ventures and Hack VC
TAC Protocol raised $11.5 million across seed and strategic rounds. Backers include TON Ventures, Hack VC, Animoca Ventures, Symbolic Capital and Spartan Group. The investor list gave the project institutional credibility, but secondary-market buyers faced practical risks of float structure, unlocks, liquidity fragmentation and speculative leverage.
Binance Alpha Listing Created Concentrated Liquidity Risk
Binance Alpha listings can attract rapid speculative flows without guaranteeing durable liquidity. For traders, early access concentrates risk into a narrow window when price discovery is unstable and large holders may be looking to exit. The crash illustrates how vulnerable new tokens can be when circulating supply, liquidity and incentive design are poorly aligned. Airdrops can create immediate sell pressure if recipients treat tokens as free liquidity rather than long-term governance or utility assets.
FAQ
What caused TAC token to crash 90% after its Binance Alpha listing?
Reports attributed the crash to heavy token selling by airdrop recipients into limited market depth, combined with forced liquidations of leveraged long positions on Binance Futures' 50x leverage TAC/USDT perpetual contract. There was no confirmed new hack or smart contract exploit linked to the price collapse at the time of reporting.
Who funded TAC Protocol before the token crash?
TAC Protocol raised $11.5 million across seed and strategic rounds from backers including TON Ventures, Hack VC, Animoca Ventures, Symbolic Capital and Spartan Group.
Did TAC Protocol experience any security incidents before this crash?
In May, TAC Protocol suffered a $2.8 million cross-chain exploit affecting its TON-Ethereum bridging layer. Reports said the team recovered about 90% of the funds through negotiations with the attacker.
