According to Twitter user FatMan, the DeFi project Stablegains gets USDC and USD collateral from customers via wire transfer, and promises them a 15% return, but without telling them, put all the money into Anchor, and then only Withdraw 4% from the top.
They have now changed the denomination in their app from USD to UST and are taking down the login page and removing the old terms. Their operation resulted in a loss of $42 million for 4,878 customers, and likely won’t be able to pay it back because they staked all their money on Anchor.