TAC, a Cosmos-based EVM sidechain tied to the TON ecosystem, stopped producing blocks on August 22 after a supply-related exploit. The incident hit the sidechain's token supply, not the TON mainnet, which was never halted or compromised. The network has remained down while the team investigates and contains the damage.
What the exploit did
The exploit targeted the sidechain's own token mechanics. Supply exploits like this one let an attacker mint, inflate, duplicate, or otherwise manipulate token supply, which can wreck the economic integrity of the chain. Sidechains run their own validators, contracts, bridges, and governance — that means more moving parts, and more places for something to go wrong.
Halting block production is a blunt but common move. It stops new blocks while the team works out what happened and how to patch it, preventing further damage. But it also freezes user activity, so the clock is ticking.
Why TON wasn't hit
This wasn't a TON mainnet problem. TAC is a sidechain, connected to TON but running independently. The exploit hit TAC's token supply and its own validators, not the base chain. For TON users, nothing on the mainnet changed. The incident is a reminder that sidechains add risk even when the underlying network is fine.
TAC's whole pitch is to bring EVM apps into the TON ecosystem. That makes the halt relevant to anyone building or using TON-based DeFi, even if they weren't directly affected.
What users are waiting on
The team hasn't said yet when TAC will resume block production. They also haven't detailed the cause, the exact balance impact, or whether any transactions will be rolled back. Users need clear answers on whether their assets are safe, how balances will be adjusted, and what happens to open positions on bridges or applications.
Until those details come out, the situation is unresolved. Anyone with funds stuck on TAC should watch for official communication from the team. The next step is a restart plan — with patches in place and an accounting of the supply damage. That's the only thing that gets this chain moving again.
