Saving your private keys can save a fortune

It's true that we learn from our mistakes, however, some mistakes may come at a very huge cost, one that one may never recover from. In the financial world, mistakes are like assets, they appreciate and depreciate in value overtime, such is the dilemma of a computer expert called James Powell, whose mistake has grown from just pieces of BTC to millions and potentially billions buried under heaps of trash.

HOW IT ALL STARTED

James Howell is one of the earliest miners of Bitcoin in 2009, when Bitcoin mining just started and was almost worthless in value. He mined about 8000 BTC with his laptop, then BTC mining was easy and didn't require soecial softwares used today.

THE COSTLY MISTAKE

In 2013, James Howell accidentally threw away a harddrive containing 8,000 BTC, during office clean up. It felt like nothing then, since the price of BTC was around $13 at the beginning of the year.

As BTC gained mass adoption over the years and price surged cycle after cycle, what was once a mere mistake became an economic disaster and a life time fortune buried under heaps of trash. With BTC currently at minimum of $100,000 as at the time of this publication, the value of the 8,000 BTC sits at $800,000,000, all buried under hips of trash for about 12 years. What was his mistake, he failed to back up the private key to the wallet containing the 8,000 BTC.

THE TREASURE HUNT
When He realised his mistake, Howell began search for the lost harddrive. Unfortunately, by the time he realised his mistake, the harddrive had been disposed at the Docksway landfill site in New Port, Wales.
The chances of finding the hard drive seemed slim and the landfill is very large up to the size of a football field and has deep layers of wastes.

He tried obtaining permission from the Newport council to fund a carefully executed excavation of the landfill to recover the hard drive, with promise of donating 10% of the value for community development, however, the New Port City Council declined with reasons of environmental regulation and health risks.

ALL HOPE LOST
After several attempts by Howell to recover his harddrive with 8000 BTC, proved abortive, he gave up the search. A post from financial express reads this:
"In an event in May, Howells, while still chasing his buried bitcoins, revealed that he would tokenise 21% of those coins, 1,675 bitcoins, as ordinals to the public. It would have led him to raise nearly $75 million. At the time, he was still planning to buy the landfill. He said, “We are going to make an offer they can’t refuse.” However, the needle-in-the-haystack chase faced multiple ecological and legal hurdles before Howells finally gave up."

IT GETS EVEN WORST
What began as almost insignificant, has turned into millions of dollars and according to financial analysts, in 2030, when BTC gets to about $170,000, James Howell would have lost $13.6B.

LEARN THE LESSON
Never create a wallet without saving your private keys immediately. Do it immediately, no procrastination, do it immediately and save your yourself a fortune.

So, have you backed up the private keys to all your wallets?, this could save you a fortune.

Image Source
Financial Express

Reference:
Financial Express

Posted Using INLEO