How A Crypto Trader Lost $3.08M In Seconds?

25 Nov, 2024 Updated 25 Nov, 2024

Former SEO Writer

Expertise : Crypto News & Market Analysis, Content Strategy & SEO Writing

Pooja Khardia is a seasoned crypto content writer with 6+ years of experience in writing, including in blockchain, cryptocurrency, DeFi, and digital finance reporting. In her adventure journey, she is currently working with CoinGape Media and leading their Trending Section. Here, she uses her expertise to deliver analytics, market insights, price predictions, and information on what’s trending in the crypto space, aiming to keep the crypto and web3 community updated with market trends and important insights. Known for a user-centric and straightforward writing style, Pooja is passionate about making crypto easy and accessible. Her writing blends market research with storytelling, helping readers stay ahead in a fast-paced industry. When not behind the keyboard, Pooja embraces her creative side through drawing and crafting. Connect with Pooja on LinkedIn or X.

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How A Crypto Trader Lost $3.08M In Seconds?

Highlights

Crypto trader mistakenly transferred $3.05M worth tokens to the wrong address while copy-pasting the address details.
He transferred 7M PYTH to a scammer who had created a similar address as the deposit address
In a similar incident, another trader sent the tokens to the safe module instead of the safe wallet.

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Despite its high popularity, the crypto trading market is filled with complexities, which makes crypto traders vulnerable on multiple occasions. Some of these are completely out of control. In a few instances, even controllable ones get out of control, causing heavy losses for crypto investors. The same happened with this individual, who lost $3.08M in just a few seconds after he made one mistake during a transaction.

Crypto Trader’s Copy Paste Mistake Cost $3.08M

The crypto market has been bullish for days, as the Bitcoin price is aiming for a $100k target, currently at $98,364.52. This surge in BTC is boosting the crypto investor’s morale, as all the cryptos are attempting new highs, bringing heavy returns. However, amid this excitement, a crypto trader lost $3.08M after mistakenly pasting the wrong wallet address. As a result, he lost millions with this simple and common crypto trading error.

This revelation came out when Lookonchain revealed the crypto investor’s mistake on X. According to that, the victim mistakenly transferred 7M PYTH, equivalent to $3.08M, to the wrong address.

Always double-check the address before making a transfer!

Don’t copy addresses from your transaction history for convenience!

Someone lost $3.08M after copying the wrong deposit address from the transaction history.

A scammer created an address with the same first 4 characters… pic.twitter.com/Khn8v9Lzfi

— Lookonchain (@lookonchain) November 25, 2024

This is one of many cases where someone lost millions of dollars to negligence. Another similar case involves a trader who lost $25M in wallet error, sending the Renzo Restaked ETH to the safe module instead of Renzo’s safe wallet.

Scammer Created Fake Address To Scam The Trader

Though the crypto trader made the copy-paste mistake, a crypto scammer was also involved. The Lookonchain post also stated that the scammer created a wallet address with the same first four characters as the right deposit address to scam the individual. More importantly, he sent 0.000001 SOL to the victim, creating a transaction record in the victim’s transaction history. This eventually led to the trader’s confusion over the wallet, costing 7M PYTH ($3.08M).

Moreover, all blockchain transactions are irreversible, making the biggest crypto trading mistake. It is a big lesson for this crypto investor and the rest of the community to double-check and follow all the important measures before transacting, especially amid the rising crypto scams.

Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.

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Why Trust CoinGape

CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.