Ethereum Transaction: User Loses Thousands of Euros Due to Gas Fee Error

A crypto user merely wanted to conduct a routine transfer between two wallets – and lost thousands of euros in transaction fees in the process. The incident occurred during a period of high network congestion on Ethereum, when gas fees were significantly above normal levels ^[1].

The wallet displayed the fees in the technical unit Gwei, which made it difficult for the user to properly assess them. After confirming the transaction, the fees were irrevocably lost – on-chain transactions do not allow for chargebacks or corrections ^[1].

The case highlights the risks of self-custody: While on-chain transactions offer complete control, users also bear full responsibility. Unlike with traditional financial service providers, there is no support and no liability from third parties ^[1].

Experts recommend questioning the necessity of on-chain transfers, particularly for everyday transactions. Cryptocurrency exchanges often offer more transparent fee structures for routine purchases and sales and execute transactions internally, which can avoid high network fees ^[1]. However, for long-term storage of larger amounts, self-custody remains the recommended option.