Bitfinex Paid Over $23 Million in Fees to Send Only $100K

Bitfinex crypto exchange just paid over $23 million in fees to send $100K in Tether (USDT).

According to reports, the wallet that covered the fees for a payment of $100,000 in Tether (USDT) belongs to the crypto exchange Bitfinex. The transaction was made on behalf of the non-custodial exchange DeversiFi.

Bitfinex crypto exchange just paid over $23 million in fees to send $100K in Tether (USDT).
Bitfinex transactions | Image: Etherscan

In addition, the report adds that some of the funds — around $22.1 million worth of ETH were returned to the Bitfinex-controlled wallet. Based on Etherscan, the transaction was carried out at 5:14 PM EST worth $33.74.

Moreover, DeversiFi said the transaction came from its platform, which provides access to DeFi protocols without paying gas fees. Further, the transaction fees are paid out through one of Bitfinex's main wallets.

To address the matter, a spokesperson for DeversiFi said,

"At 11:10 UTC on the 27th September, a deposit transaction was made using a hardware wallet from the main DeversiFi user interface with an erroneously high gas fee."

In addition, the person added that DeversiFi is currently investigating the matter to discover how this happened and will keep the community updated. Also, the team said that no customer funds on DeversiFi are at risk. In fact, this is an internal matter for DeversiFi to fix.

In detail, the team elaborates that the transaction was a smart contract interplay with the price of USDT sent to one wallet before being moved along to Deversifi’s wallet. Besides, the transaction used the Ethereum EIP-1559 type of transaction.

Briefly, the transaction was involved in a block mined by an unknown Ethereum miner, who stands in the top ten miners by blocks mined over the last 7 days.

This is without a doubt the biggest Ethereum transaction fee ever paid in dollar terms.