Blockchain enthusiast allegedly losses $500k by sending WETH to contract address

Blockchain enthusiast allegedly losses $500k by sending WETH to contract address

In a now-deleted deleted post, an anonymous Reddit user allegedly lost close to $500 thousand on Sunday after sending wrapped Ether (WETH) directly into a WETH wrapping smart contract. WETH came into existence as a way for Ether (ETH) to conform to the ERC-20 token standard so that it can be tred directly with altcoins minted on the Ethereum blockchain.

To wrap Ether, users first send ETH to the WETH smart contract dress and receive an equivalent token in return. However, to unwrap WETH, users must either swap for ETH on a decentralized exchange like Uniswap (UNI) or call the withdrawal function in the WETH smart contract. Inste, the anonymous Reddit user sent the WETH directly back into the WETH smart contract dress in the hopes of receiving ETH back. Unfortunately for the user, this process is the equivalent of “token burning” and resulted in an irreversible loss of the trer’s crypto.

While the user’s identity is no longer available on Reddit, the transaction still appears on Etherscan, showing that 195.2 WETH ($501,358) was sent to the WETH smart contract at the time of publication contract and therefore lost forever. Most Reddit members were sympathetic with the trer, with u/0150r writing:

“Losing a half-million dollars worth of crypto by mistake is something that needs to be dressed before crypto can become mainstream. When it’s this easy to lose everything, there’s no way your grandma is going to be using it.”

However, others pointed out that the original poster should have done far more to research the technology before using it, with u/jecrystal writing:

“No, you don’t need to design the technology, but if you don’t have a basic grasp of … a microwave oven, a car’s starter, engine, and steering column… or public key crypto and blockchain dresses, this is what happens.”

ARTICLE: Blockchain enthusiast allegedly losses $500k by sending WETH to contract dress
PUBLISHED: 2022-01-31 15:30:00 
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