A non-fungible token (NFT) collector mistakenly purchased a free NFT for a staggering 100 Ether (ETH), equivalent to $191,239, on the OpenSea marketplace. The error has sparked debate among observers. Some suggest it was a wash trade, while others believe it was an honest mistake.
Credit:Bitcoinist
The $191K Mistake: An Expensive NFT Offer
The NFT in question was part of OpenSea’s Gemesis NFT collection. It is a set of free NFT tokens designed to celebrate the launch of OpenSea Pro on April 4. Instead of acquiring the NFT for free, the trader accidentally placed a bid for 100 ETH, a massive 250,000% increase on the floor price of 0.04 ETH. OpenSea Pro, a market aggregator aimed at professional users, offers an enhanced set of features, including live data between markets and advanced ordering.
Deciphering the blunder: Wash Trade vs. Human Error
There has been considerable speculation surrounding the reasons for the inflated supply. Some argue that it was a wash trade. Understandably, theirs is a form of market manipulation in which a trader buys and sells an asset in order to present misleading information to the market.
While illegal in traditional stock markets, wash trading is prevalent in NFT trading. However, others, such as Twitter user “0xSun”, have postulated that the trader intended to bid $100, but mistakenly offered 100 ETH instead. A Reddit user who posted about the sale also cast doubt on the wash trading theory, noting that anyone could have accepted the open offer, making it too risky to wash trade.
OpenSea Pro and the free Gemesis NFT collection
OpenSea acquired NFT Gem aggregator on April 25, 2022 and developed the platform into OpenSea Pro. Only users who purchased at least one NFT on Gem before March 31 are eligible to mint a Gemesis NFT. The minting window will close on May 4.
The importance of caution in the free NFT market
He costly mistake from a collector buying a free NFT for 100 ETH is remarkable. It has sparked debates about the potential for market manipulation in the NFT space. As the debate progresses, it is unclear what happened. Whether the transaction was a genuine mistake or a more nefarious wash trade. Regardless of the truth, this incident highlights the importance of diligence. Especially when you navigate the volatile and sometimes unpredictable world of NFT trading.
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