OpenSea Bug Leads To $100,000 Worth Of NFTs Loss: Report

An OpenSea bug leads to $100,000 worth of NFTs being lost as the glitch impacted 30 transactions from 21 different accounts as we are reading more in our latest crypto news.

Nick Johnson, the lead developer of the Ethereum Name Server unveiled a bug on the NFT marketplace OpenSea which caused him and other traders to lost about $100,000 in NFTs to burn addresses with the bug that has been patched since but the damage is irreversible. Johnson explained the bug in a Twitter threat where he announced that he had accidentally burned the first ENS name ever registered. It all started with him trying to transfer the ENS titeld rilxxlir.eth to one of his personal accounts and then planned to offer rilxxlir as an NFT through PaperclipDAO but because the name was held by the ENS account rather than a personal account that would be prevented from doing this until transferring the ENS.

Johnson tried this through OpenSea and that’s when he discovered a glitch. Rather than sending the ENS to the given personal address, it was sent to a mysterious burn address which was not seen ever since. The ENS developer then released a frantic call to OpenSea in a response:

“It transpires I was the first and apparently only victim of a bug introduced to their transfer page in the past 24 hours, which affected all ERC721 transfers to ENS names. Ownership of rilxxlir.eth is now permanently burned.”

As the address that the name was sent is unused, it cannot be recovered. Though Johnson claimed the bug was fixed before he made his tweet and later realized that 32 other transactions were affected with 21 users, 42 traded NFTs and the floor price of all NFTs lost totaled about 28.44 ETH in value or about $100,000 at the time. The average value of each NFT set lost in OpenSea’s bug was over $2300 while NFTs saw incredible popularity and set numerous price records as of late. The reports also showed a $19 million bid on a collection of 107 bored Yacht apes. The OpenSea bug only spiked the growing concerns about NFTs driving up the fees on the ETH network. Buterin even proposed the creation of a layer2 solution on the network to solve the problem where NFTs will be better off being traded.