NFT trader Brandon Riley has burned his CryptoPunk #685 NFT, which he purchased for 77 Ether (ETH) two weeks ago, by accidentally sending it to a burn address.
The NFT was worth nearly $129,000 when Riley bought it.
Riley initially planned to wrap the NFT as a new digital token and post it to NFTfi.com to earn an annual yield of around 7%.
- However, using an online guide, Riley sent his NFT to a burn address by inputting the wrong address and permanently removed it from circulation.
- A Twitter user named NFToga said the instructions in the guide used by Riley were updated after the burned NFT and started warning traders not to send their NFTs to wallets formatted as burn addresses.
- Riley asked Yuga Labs, the firm behind the CryptoPunk NFTs, whether he could buy the first version of CryptoPunk #685 released before a bug was found in the collection’s smart contract.
- Yuga Labs has yet to answer Riley’s question or make any official statement.
Burn addresses refer to the inaccessible digital wallets without a private key to send cryptocurrencies and NFTs to never be traded again, permanently removing them from circulation.
- Yuga Labs’ CryptoPunk NFTs are one of the most expensive NFT collections in the industry, with its $1B of market cap, and the cheapest NFT in the collection is worth around $109,000.
