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Crypto developer platform Gitcoin has admitted to losing approximately $460,000 of Gitcoin (GTC) tokens after mistakenly sending the funds to an unrecoverable contract address.<\/p>\n
On Oct. 6, project lead \u201cCoachJonathan\u201d posted details of the incident<\/a> on the Gitcoin governance forum. He said the transfer of GTC from the treasury was intended for a merchandise, memes, and marketing budget proposal.<\/p>\n However, rather than going to a multisignature address, it instead went to a GTC token contract<\/a> instead. <\/p>\n \u201cThis has rendered the funds stuck in the contract, with no way of recovering them,\u201d he lamented.<\/p>\n A total of 521,440 GTC tokens<\/a> were lost in the snafu. The coin was trading at just below $0.90 at the time, making the dollar loss an estimated $461,000.<\/p>\n Following the transfer, Gitcoin core developers were contacted to explore whether the contract has a withdraw function or was upgradeable. It was confirmed that neither was an option, so the funds have been flagged as lost. <\/p>\n In light of the incident, the team has shared plans to ensure such an error never happens again and create clearer accountability if there is another incident.<\/p>\n \u201cLarge token holders and multisig signers have a responsibility to be extra diligent when it comes to handling funds that do not belong to them (myself included),\u201d he concluded. <\/p>\n Gitcoin researcher Umar Khan commented on the forum that the DAO could consider the lost tokens a reduction in GTC supply rather than a loss of treasury funds.<\/p>\n Observers said \u201cCrypto UX is sadly really broken if this can happen,\u201d <\/p>\n It seems that @gitcoin<\/a> mistakenly sent ~521k $GTC<\/a> (~$471k) to the token address instead of funding a workstream address<\/p>\n That is really sad to see. Effectively burning half a million $<\/p>\n How come none of the voter\/signer noticed? Crypto UX is sadly really broken if this can happen pic.twitter.com\/DhI7lPaViY<\/a><\/p>\n \u2014 Lefteris Karapetsas | Hiring for @rotkiapp (@LefterisJP) October 7, 2023<\/a><\/p><\/blockquote>\n Related: <\/em><\/strong>Crypto.com accidentally transferred $10.5M to client instead of $100 refund<\/em><\/strong><\/a><\/p>\n\n