$129K CryptoPunk Mistakenly Destroyed by NFT Trader

Share This Post

An NFT trader was distraught after discovering that the CryptoPunk he bought for 77 ETH (around $129k) vanished after unintentionally sending the costly artwork to a burn address.

Quick Takes: 

  • NFT trader, Brandon Riley, accidentally sent his CryptoPunk #685 worth $129k to a burn address, rendering it permanently inaccessible and untradeable.
  • CryptoPunks were created before the ERC-721 token standard, making them incompatible with the decentralized finance platform NFTfi.com, where Riley sought to secure a loan.
  • This incident highlights the irreversible nature of digital asset transactions and the challenges of managing self-custody assets.

The Tale Behind the Punk’s Destruction 

Brandon Riley — who purchased CryptoPunk #685 two weeks prior in the hope of securing a loan and financial gain — made a mistake while attempting to wrap his NFT on NFTfi.com.

Unfortunately, Yuga Labs created CryptoPunks before the ERC-721 token standard for NFTs came to light, making the assets incompatible with the decentralized platform.

Using an online guide, Riley attempted to wrap his Punk as an ERC-721 token. However, he accidentally sent the blue-chip asset to a burn address without a private key. Rendering it from circulation as a result.

Riley turned to Twitter to express his misfortune and ask Yuga Labs for help:

Many Punks sell for six figures or more. However, CryptoPunk #685 is worth around $129,000 in ETH (at this time of writing). Although this Punk is one of the cheaper ones, it’s still a large sum of money for anyone to lose.

This event highlights issues with the irreversible nature of NFTs and other transactions for digital assets. Although, in rare instances, NFT enthusiasts have burned such assets for symbolic reasons. For example, Jason Williams burned BAYC #1626, valued at $169,000, to transition the asset’s underlying network from Ethereum to Bitcoin through an Ordinals Inscription.

Subscribe to the NFT Lately newsletter to receive news covering the latest NFT-related drops, releases, reviews, and more. 


Related Posts

Void 2122 to Unlock a New Era of Combat Card Gaming with NFTs

The pioneering force in the Web3 landscape, Void 2122,...

Magic Eden Adopts Solana’s Compressed NFTs

Magin Eden, the distinguished NFT marketplace, recently announced its...

Friend.tech Returns With Surging NFT Trading Volumes

Friend.tech, the decentralized social media app, has shown an...

CoinMarketCap and HELLO Labs to Premiere TV Series, Killer Whales

An official trailer for the Web3 television series 'Killer...

Machi Proposes 11M $APE Sends NFTs to Museums Worldwide

An intriguing week-long vote surrounding OG NFTs kick-started today! Machi Big Brother,...

Related Posts

The History of Bitcoin NFTs – A Step-by-Step Timeline

With recent hype surrounding Casey Rodarmor's release of open-source...

CoinGecko vs CoinMarketCap: Which Is The Better Crypto Tracker?

CoinMarketCap and CoinGecko are two of the most popular...

The Ultimate Guide to NFT for Dummies [2022 Guide]

NFTs are collectible items that can represent digital content,...

Top 5 Most Expensive CryptoPunks NFTs and Reasons Why

CryptoPunks' unique attributes sell for six digits or more CryptoPunks,...

Top 10 NFT Marketplaces to Look Out For and Why

How numerous NFT marketplaces make hunting for digital collectibles...

Everything About Starbucks NFT Reward Program ‘Starbucks Odyssey’

A Starbucks NFT will reward customers with a trip...