Yuga Labs reported in a Wednesday Twitter thread that everyone who failed to mint an “Otherdeed” non-fungible token (NFT) before April 30 had received their gas fees back.
Yuga Labs stated in the thread, “We have reimbursed gas prices to everyone who performed a transaction that failed due to network constraints created by the mint.” “The fees were refunded to the wallets that were used for the initial transaction.”
According to statistics from Etherscan, Yuga Labs spent a total of 90.57 ETH (approximately US$265,000) on 640 refunds. The most significant individual return was 2.6 ETH (about $7,500), and the company spent 0.26 ETH (around $783) in gas expenses to send out all of the reimbursements.
Yuga Labs faced the repercussions of the failed mint
Yuga Labs, which owns Bored Ape Yacht Club, one of the most costly collections of nonfungible tokens (NFTs), started selling its latest digital products on April 30.
The costs were just too exorbitant for many consumers. Some people paid transaction fees that were more than five times the amount of the item they bought.
The auction was part of Yuga Labs’ ambition to develop Otherside, a crypto-based metaverse featuring the Bored Ape characters.
Like other crypto-based platforms such as Decentraland and Upland, Otherside will partition the geography into patches of virtual land called Otherdeeds, which will be sold to players as NFTs.
While the auction raised $253 million, the increased demand overloaded the Ethereum network, causing transaction costs known as gas fees to rise. Many consumers who spent less than $10 for an NFT were forced to pay tens of thousands of dollars in petrol costs. An unknown buyer paid $45,000 in transaction costs for a $5,800 NFT.
Yuga had announced the refund days in advance and cautioned consumers about possible phishing schemes imitating the company, which had been common in recent days.
Yuga used MultiSender to disperse the payments to decrease the possibility of fraud on the refund’s back end. Before receiving money, MultiSender does not need wallets to engage with or confirm a contract.