• A savvy trader, Hanwe Chang, has bagged 800 Ethereum (ETH) worth almost $1.5 million by outsmarting a bot on a NFT marketplace.
• The plan was to accumulate NFTs and place inflated bids in hopes of luring the bot into buying them at needlessly high prices.
• Gabriel Shapiro of Delphi Labs said that the owner of the bot may have legal recourse for getting their ETH back.
NFT Trader Bags $1.5 Million After Executing Perfect Plan
A pseudonymous trader named Hanwe Chang has admitted to bagging 800 Ethereum (ETH) worth almost $1.5 million after executing a perfect plan to trick a bot on non-fungible token (NFT) marketplace Blur.
How Hanwe Chang Outsmarted the Bot
Hanwe noticed someone using a bot to copy all of his trades on Blur, and formulated an ingenious plan to take advantage. He accumulated NFTs from popular artist Azuki and placed extremely inflated bids from a separate wallet in order to lure the bot into purchasing them at needlessly high prices – which it did without hesitation. With this tactic, Hanwe successfully sold all of his Azukis for 50 ETH each – much higher than their original cost under five ETH each – moving much of the profits to an Ethereum address labeled as Hanwe.eth according to blockchain scanner Etherscan.
The Bot Owner’s Potential Legal Recourse
General counsel at Web3 development firm Delphi Labs, Gabriel Shapiro said that the owner of the bot, who has the X handle @ThinkingETH, may have a chance at legal recourse for getting their ETH back from Hanwe’s “trick” if they hire a skilled litigator: “I unironically think @ThinkingETH might have good legal claims… Legally the issues are a bit more nuanced than they might be normatively from the standpoint of cryptotwitter.”
What is Non-Fungible Token (NFT)?
Non-fungible tokens or NFTs are digital assets with unique properties that cannot be divided or replicated like traditional cryptocurrencies – such as Bitcoin and Ethereum – can be divided into smaller units or fractions because they represent something tangible – such as artwork or collectables – and are usually stored on blockchain technology platforms such as Ethereum or Tezos for additional security measures against fraud and counterfeiting activities online .
Conclusion
This story is proof that even traders with less experience can outwit bots with clever strategies and reap huge rewards if done correctly. Additionally, it also highlights how important it is for owners/operators of bots to understand both sides of strategically leveraging blockchain technology when trading virtual assets online .
