Tether, the issuer of the USDT accidentally issued $5 billion worth of its own stablecoin while Poloniex was conducting a USDT chain swap from Omni to Tron. The CTO of Bitfinex and Tether said there had been an issue with the “token decimals,” after which the company burned the entire 5 billion supply.
Tether makes a $5 billion mistake
In what could be the most expensive typo ever made, Tether mistakenly issued and subsequently burned 5 billion USDT coins. The mistake was first spotted by Whale Alert on July 13, a Twitter account dedicated to reporting major crypto transactions.
💵 💵 💵 💵 💵 💵 💵 💵 💵 💵 5,000,000,000 #USDT (4,996,932,524 USD) minted at Tether Treasury
— Whale Alert (@whale_alert) July 13, 2019
The tweet initially caused a massive stir in the crypto community, leaving many traders in disbelief over how the company managed to mint $5 billion worth of cryptocurrency.
More than the entire USDT supply suddenly issued on Tron.
This is a joke or a Tron bug, people.
— antiprosynthesis (@antiprosynth) July 13, 2019
However, Tether reacted quickly and burned the entire supply within minutes. Paolo Ardoino, the chief technical officer at Tether and Bitfinex, responded to Whale Alert’s tweet, owning up to the mistake. Ardoino said that there had been an issue with the “token decimals,” as the company was trying to move 50 million from Bitcoin’s Omni blockchain to Tron.
While preparing the issuance for Omni to Tron swap there have been an issue with the token decimals. Please check the burn transactions below @Tether_tohttps://t.co/reEW51qCqihttps://t.co/zo5i3ayTuQ https://t.co/h1Y9Mnr4Oq
— Paolo Ardoino (@paoloardoino) July 13,