Woofun AI reports that the TAC Protocol team clarified the recent token price decline was caused by a cascade of futures liquidations amid thin liquidity, not a security incident. The project confirmed all on-chain assets and system operations remain secure, explicitly denying any compromise or participation in the sell-off by the development team or early investors. The statement noted that tokens held by these groups remain locked under vesting schedules, ruling out insider dumping. The price action is attributed to large-scale selling of TAC perpetual futures contracts, where aggressive shorting or unwinding of leveraged positions triggered forced liquidations. This pressure spilled into the spot market, amplifying downward moves due to low order book depth. The TAC team announced it will release a detailed plan to improve liquidity conditions and restore market confidence, though specific measures were not disclosed.