Those who have been around crypto for a while will understand the agony of sending tokens to the wrong address or network and losing them forever. However, how many understand what it feels like to lose a rare and highly valued cryptopunk as a result of a failed transaction? That’s the kind of pain an investor, Brandon Rileyis going on after permanently destroying his $129,000 NFT while trying to ‘wrap’ it.
Riley bought the piece for 77 ETH less than two weeks ago, and he planned to keep it for the next ten years. However, on March 19, he decided to get some liquidity using cryptopunk #685 as collateral, allowing you to unlock more potential of your valuable asset.
In order to interface with most modern NFT platforms, Riley first needed to update the old CryptoPunk to the ERC-721 standard in a process known as “wrapping.” Effectively ‘wrapping’ the old token in an ERC-721 NFT, that will allow it to be compatible with the broader Web3 ecosystem.
Going solo, Riley proceeded to follow some instructions posted online to walk him through the process of wrapping the punk. Only to misinterpret the guide, confuse the recording address with the proxy address, and consign your beloved asset to the digital void.
Today I accidentally burned a @cryptopunksnfts trying to wrap punk 685.
I was so focused on following the instructions exactly that I made a mistake and destroyed a third of my net worth in a single transaction. @yugalabs please sell me the @v1punks 685 as consolation. 🙏🏼 pic.twitter.com/jHoTGvlc7j
—Brandon Riley (@vitalitygrowth) March 25, 2023
The investor regrets doing it alone
In a series of tweets, Riley notes: “They told me to follow the instructions to the letter, so I did.” Just for the NFT to be sent to a recording address. When he realized what had happened, he was distraught, noticing, “I just shouldn’t have tried this on my own, I guess.”
Crypto Twitter was sympathetic to the investor, with many blaming confusing interfaces and complex instructions for their loss. Many people agreed that most crypto-related user interfaces needed to be improved to prevent such incidents in the future.
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*All investment/financial opinions expressed by NFT Plazas come from the personal research and experience of our site moderators and are intended for educational purposes only. People are required to fully research any product before making any type of investment.
Basil is an avid fan of blockchain technology and all its innovations, and he is passionate about sharing this narrative with his audience. He has spent over five years in the crypto space, specializing in research and creating Web3 content for various media outlets around the world.
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