Tether Will Return $1 Million USDT Lost In Swerve: Analysis

Tether will return $1 million USDT lost in Swerve’s token contract as the CTO of the platform Paolo Ardoino announced to the community. He said that the company will be able to recover the funds that were ERC20 USDT stuck in ETH addresses so let’s find out more in our Tether crypto news today.

The quick reaction that was celebrated by the users, sparked a debate about the centralized nature of some cryptocurrencies and the dangers it poses for the rest of the industry. Swerve Fi, which is one of the latest DeFi protocols to enter the market has experienced the first controversy earlier today. The testimonials from Twitter showed that one user of the protocol sent $1 million worth of USDT to the Swerve token contract. Now, Tether will return $1 million of the coins as one user shared excerpts from the Swerve Discord chat.

Swerve Discord is savage tonight. Some guy just sent $1 million to the Swerve token contract and LOST IT ALL.

DeFi ain't for the faint of heart. pic.twitter.com/s1OO84i3dI

— Platonic NEET (@Crypto_Plato) September 8, 2020

The identity of the user is unknown as the reason why the tokens were sent to the Swerve’s token contract. Swerve is a fork of Curve finance which is an extremely successful DeFi protocol but with 100 percent of the governance platform tokens that are distributed to the community via liquidity mining. While the crypto community used the opportunity to laugh at what they believe to be incompetence to have to deal with DeFi, it seems that the traders could get his money back.

Please open a ticket to @Tether_to support service https://t.co/1Yx0v0myL1
If it's USDt ERC20 stuck in an address we should be able to recover it, but in order to be sure, please contact our customer support and we'll try our best. https://t.co/B3KuRDYsVK

— Paolo Ardoino (@paoloardoino) September 8, 2020

Paolo Ardoino, the CTO of Tether and Bitfinex said to the traders to open a ticket with Tether’s support service so they can be able to get the transaction sorted out. Ardoino explained that if the lost funds were ERC20 USDT and are stuck on the ETH addresses, Tether will be able to recover them. He also said that if the ticket ID of the transaction is provided by the trader, Tether will be able to prioritize solving the issue. The news about this new possibility being recovered made a fuss across the crypto community as hundreds of people praised Tether for the quick update.

Please open a ticket to @Tether_to support service https://t.co/1Yx0v0myL1
If it's USDt ERC20 stuck in an address we should be able to recover it, but in order to be sure, please contact our customer support and we'll try our best. https://t.co/B3KuRDYsVK

— Paolo Ardoino (@paoloardoino) September 8, 2020

Dozens of users reached out to Ardoino with multiple questions about their transactions asking how long it takes to retrieve the lost funds. According to Ardoino, getting the lost transactions back it could last for a few weeks while retrieving USDT from token contract addresses will not be a problem for Tether.