Wallets associated with recently pardoned Silk Road creator Ross Ulbricht incurred a loss of $12 million due to a memecoin trading error, as reported by Arkham Intelligence. Ulbricht or an operator of his wallet mistakenly set the initial price of a memecoin called ROSS too low while adding liquidity on the decentralized exchange Raydium. This mispricing allowed a maximal extractable value (MEV) bot to purchase $1.5 million worth of tokens instantly and profit from selling them back into the liquidity pool. The wallet later made a similar mistake, losing another $10.5 million. The bot capitalized on the mispriced tokens, causing ROSS to crash by 90%. Despite the losses, the wallets involved continue to hold about 10% of the ROSS supply, worth approximately $200,000. Ulbricht's wallet addresses are also associated with a donation campaign aimed at his release from prison after his conviction for operating the Silk Road marketplace.

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