An Accident? Unknown Ethereum User Pays $2.6 Million Transaction Fee

In the process of sending 350 ETH over the Ethereum blockchain, someone paid $2.6 million in fees. Was it an accident?

June 11 2020 | AtoZ Markets – Yesterday, an unusual transaction grabbed the crypto community’s attention. A mysterious Ethereum user paid 10,668 ETH (over $2.6 million) in fees. However, the value it transmitted was only 0.55 ETH.

Today, another transaction originating from the same wallet carried 350 ETH, and the fee was again – 10,668 ETH.

Ethereum user paid $2.6 million transaction fees

Around 12:00 am ET Thursday, another high-fee, mysterious Ethereum transaction took place in which a sender sent $86,390 worth of ETH with transaction fees of around $2.6 million.

The same address made the transaction that was behind yesterday’s ETH transaction

While some speculations implied that it was an apparent mistake of merely swapping the “value” and “transaction fee” fields in the API call, history repeated itself today.

What’s going on?

The mining group that mined the block has urged the owner of the address to contact them to resolve the issue.

“We believe that this was an accident and in order to resolve this issue the tx sender should contact us…immediately,” tweeted Bitfly, the operator of Ethermine.

Vitalik Buterin, a co-founder of Ethereum, also believes that the abnormal fee was a mistake. He, however, assured that a protocol upgrade will reduce such errors.

“Definitely a mistake. I’m expecting EIP 1559 to greatly reduce the rate of things like this happening by reducing the need for users to try to set fees manually,” he wrote on Twitter.

Reactions from the mining companies

Spark Pool mined the initial transaction. The company issued an official statement on the matter almost immediately after mining block 10237208, saying that it had launched an investigation. Spark Pool noted it “has the experience of handling similar issues properly.” Over a year ago, the firm mined block 7238290, which transmitted 0.1 ETH of value, but the fee was 2,100 ETH.

Today’s transaction was included in block 10241999, which was mined by another company called Ethermine.

If the problem with the first transaction was indeed a human error, the second one might invalidate this theory. Even if the initiator had mistaken again the fields for “value” and “transaction fee,” 350 ETH is too high of a fee for a 10,668 ETH transaction. This could mean that there’s a more serious bug in the system that needs a thorough investigation.

What do you think about the mysterious Ethereum transaction fee? Share your thoughts in the comment section below.

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