Unknown Paid $530M in Ether for NFT with Flash Loan
Main page News, Crypto Market, NFT
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Oct. 29, 2021

The CryptoPunks collection of non-fungible tokens has been replenished with a new big deal. An unknown user used over $530 million in ether (ETH) to purchase an NFT Punk 9998, according to CryptoPunks Bot. However, Larva Labs, the developer of the CryptoPunks collection, said the purchase was not real as the seller and the buyer were allegedly the same person.

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The developers say the purchase is being done with the so-called flash loans. Someone bought this punk from themself with borrowed money and repaid the loan in the same transaction, a spokesperson for Larva wrote on Twitter. Technically, the transaction is also not a bug or an exploit, the spokesperson emphasized:

"Some recent large bids were done the same way. The ether is offered and removed in a single transaction. So, while technically briefly valid, the bid can never be accepted. We will add filtering to avoid generating notifications for these kinds of transactions in the future."

Adobe Partners with NFT Marketplaces to Verify Tokens

Earlier in August, Visa spent approximately $150,000 for a punk under number 7610. The payments giant said the deal was done in order to learn how the market works as NFTs will play an "important role in the future" of retail, social media, entertainment, and commerce.

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