URGENT TERRARIA COMMUNICATION
We are sorry to confirm that a serious issue exists in the Xbox One update that was published 6th July 2016, version KTCP-20160531. Online multiplayer is broken, and players should avoid trying to use that game mode for now.
Single player and local multiplayer are not affected, and can be safely used.
For the information of the technically minded on here, we deploy to a 'development' version of Xbox Live during the QA phase for testing. This is intended to exactly replicate the conditions of the retail one. These crashes do not occur in dev, or obviously we would have not signed off the update. We're working with Microsoft now to debug this, and be assured that we are working on fixing this currently, and we will get a fix out as soon as practical. We’ll continue to keep you informed via these channels.
So for now, consider online out of bounds on Xbox One. Hopefully we can solve this soon, please be patient. For now, all I can offer is my sincerest apologies for the inconvenience.