Ross Ulbricht Loses $12M in Solana Token Loss Due to Liquidity Addition Error

Key Points:

• Ross Ulbricht’s wallet lost $12 million due to a liquidity addition mistake in a Pumpfun token transaction.
• Ulbricht’s donation address accidentally received 50% of the supply, losing $10.5M, or 35% of ROSS tokens.
• Ulbricht successfully added LP to Raydium centralized liquidity pool and still holds 10% of the remaining ROSS tokens.

According to Arkham, Ross Ulbricht, the founder of the infamous Silk Road marketplace or the operator of his wallet, has reportedly lost approximately $12 million due to an operational error during the Solana token loss in the Pumpfun token transaction on the Solana blockchain.

How the Solana Token Loss Happened

This significant financial setback occurred when Ulbricht’s donation address inadvertently received 50% of the total supply of ROSS tokens, leading to a massive loss of $10.5 million—which accounts for 35% of the total ROSS supply due to the Solana token loss.

The error stemmed from a liquidity pool (LP) addition mistake while interacting with the Solana-based decentralized finance (DeFi) platform. Ulbricht’s wallet, which is connected to his donation address, was involved in the transaction that resulted in this unexpected Solana token loss. Despite the error, he still holds 10% of the remaining supply of ROSS tokens, which is significant given the token’s market potential.

Read more: Ross Ulbricht Awaits Release From Prison As Trump Grants Full Pardon

Impact of the $12M Loss on Ross Ulbricht’s Crypto Holdings

In response to the Solana token loss, Ulbricht has since corrected the issue and successfully added LP to the Raydium centralized liquidity pool, which is a critical step in maintaining the token’s liquidity within the Solana network. This move has helped stabilize the remaining value of the ROSS tokens, allowing them to continue circulating in the ecosystem.

While the Solana token loss of $12 million is a major blow, Ulbricht’s remaining holdings and actions to rectify the liquidity problem have garnered attention from the crypto community. His ability to adapt and mitigate further risks could potentially help him recover from this significant financial mishap.

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Ross Ulbricht

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Solana Token Loss

Yuna Kim

30 January 2025, 15:55:53 GMT +0000

With a deep passion for unraveling the complexities of finance and crypto, I have dedicated over 5 years to financial journalism, covering everything from traditional equities to the forefront of venture capital. I believe that crypto is a fascinating puzzle, and I thrive on helping people make sense of it. As a journalist at Coincu, my mission is to deliver clear, insightful, and well-researched content that empowers readers to navigate the ever-evolving financial landscape with confidence.

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