Cardano wallet activates after 5 years, loses $6 million in disastrous ADA-to-USDA swap
Key Takeaways
- A dormant Cardano wallet lost over $6 million in a low-liquidity ADA-to-USDA swap.
- The wallet had not been active for five years before the disastrous transaction.
A Cardano wallet holder lost over $6 million today in a disastrous swap after five years of inactivity, according to on-chain data reported by ZachXBT.
The holder exchanged 14.4 million ADA tokens, valued at $6.9 million, for 847,000 USDA. USDA is a Cardano native stablecoin launched by Anzens designed for fast, low-cost global payments and cross-border transactions in the Cardano ecosystem.
The massive loss occurred due to low liquidity in the trading pool, which led to a temporary spike in price during the transaction.
The transaction highlights risks associated with trading large amounts of crypto assets in pools with insufficient liquidity, where sizable orders can dramatically impact prices and result in unfavorable execution rates.
ADA was trading at $0.48 at press time, down 5.5% in the last 24 hours, CoinGecko data shows.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Bitcoin News Today: Bitcoin ETFs See $1.1B Outflow, While New Investments Flow Into XRP and Solana Funds
- U.S. Bitcoin ETFs lost $1.11B in three weeks, with BlackRock's IBIT and Grayscale's BTC leading outflows amid Bitcoin's six-month low at $95,200. - Analysts link redemptions to macroeconomic uncertainty and profit-taking after October's $126,000 rally, while Harvard tripled its IBIT holdings to $442.8M. - XRP and Solana ETFs attracted $255M in new capital, highlighting crypto diversification as Ethereum ETFs also faced $259M in single-day outflows. - Market debates Bitcoin's $94,000 support level amid th
Chainlink's Value Plummets Even as Ecosystem Surges by $26 Trillion
- Chainlink (LINK) plummeted to a 2.5-month low below $14.50, breaking critical support with 118% 24-hour volume spikes signaling institutional selling pressure. - A 360,000-token liquidation cascade and 27% unrealized loss in Chainlink Reserve holdings highlight market fragility despite $26T+ oracle-driven transaction value. - Institutional adoption via Stellar partnerships and tokenized bonds offsets short-term bearishness, yet RSI at 41.72 and 58.79% Bitcoin dominance signal ongoing altcoin weakness. -
Meme Coin Frenzy Sparked by Whale’s $19 Million Wager and Trump’s Support for Crypto
- A crypto whale injected $19.86 million into 22 meme coins in one hour, reflecting heightened speculative activity amid Trump-era crypto-friendly policies. - Trump-linked Bitcoin miner Hut 8 Corp reported 460% revenue growth, leveraging low-cost operations and 4,004 bitcoins ($400M value) to capitalize on market trends. - Canary Capital's MOG ETF filing triggered a 17% market cap surge for the meme token, highlighting institutional interest in community-driven crypto assets. - Analysts warn of regulatory
India’s Blockchain Strategy: National Tokenisation to Upgrade Financial Infrastructure
- India's economic advisor meets Polygon and Anq Finance to discuss tokenisation frameworks and sovereign digital assets for financial modernisation. - Proposed Asset Reserve Certificate (ARC) model uses government securities as collateral, aiming to create secure, sovereign-backed digital settlement units. - Discussions highlight tokenisation benefits like faster settlements and reduced risks, while stressing regulatory alignment with existing financial infrastructure. - Collaboration positions Polygon as
Trending news
MoreCrypto prices
More
