Man accidentally burns Rs 1 crore NFT collection, loses third of net worth

A man based in Canada accidentally burned an NFT collection worth Rs 1 crore, which was a third of his net worth, on the Ethereum blockchain. Brandon Riley shared the incident on Twitter, explaining that he had tried to create a proxy wallet but something went wrong. Following instructions on a website, Riley entered his wallet address and attempted to get his proxy wallet address. Misunderstanding step 3, he moved onto the next step thinking he had found the correct address. He then went on to copy the proxy address and followed step 4 to write contract and register proxy. It wasn't until he went to mint his wrapped punk that he realised his mistake.

 March 25, 2023

Riley acknowledged that he was not a developer and was unfamiliar with these contracts. He urged others to be more careful and emphasised the beauty and curse of self-custody.

NFTs are blockchain-based tokens that stand apart from cryptocurrencies. Unlike cryptocurrencies, NFTs are non-fungible, which means they are unique and not interchangeable. They can be traded or exchanged for other NFTs, money, or cryptocurrencies. The value of an NFT depends entirely on the agreement between the buyer and seller. For instance, a picture of hills can be transformed into an NFT and sold for millions or valued as worthless by two different buyers.

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