In a staggering revelation, over 913,000 ETH — worth nearly $3.4 billion — has been permanently lost due to user errors, according to Coinbase Director Conor Grogan.
These losses come from accidental sends to burn addresses, lost private keys, smart contract bugs, and other irreversible mishaps that plague blockchain immutability.
“If you include EIP-1559 burns, over 5% of all ETH is now permanently out of circulation,” Grogan stated on X.
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🔥 Breakdown of Ethereum’s Lost Supply
• 913,000 ETH lost due to user mistakes
• Over 3.5 million ETH already burned via EIP-1559 since its 2021 launch
• Total ETH supply hovers near 120 million, meaning ~6 million ETH is now gone — forever
This effectively makes Ethereum scarcer, potentially reinforcing its “ultrasound money”narrative.
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⛓️ Why This Matters
• Supply shock: Reduced circulating ETH strengthens deflationary pressure
• Immutability risk: One wrong move, and your funds are gone — permanently
• DeFi caution: Mishandling smart contracts can lead to millions vanishing without a trace
Grogan’s data further emphasizes how important wallet security and transaction verificationare in the decentralized world.
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💡 Community Reactions
• Some hail this as bullish: “Scarcity drives value.”
• Others highlight the dark side of decentralization: “No refunds. No mercy.”
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📉 TL;DR
• $3.4B in ETH lost due to user error
• Over 5% of ETH is now permanently removed from circulation
• Decentralized finance still comes with very centralized consequences if you’re careless
Stay safe. Double-check that wallet address. And remember: in crypto, “undo” doesn’t exist.