Financial and Business News

AI Crypto Bot “Accidentally” Drops 52 Million Memecoin, Flooding an X Wallet

Monday, 23/02/2026 | 12:49 GMT by Tareq Sikder
  • Lobstar Wilde continued offering smaller token rewards after the accidental transfer.
  • Bot error transferred 1,000 times intended tokens, worth roughly $250K at the time.
Robot

An artificial intelligence crypto trading bot known as Lobstar Wilde transferred tens of millions of tokens to a social media user after what appears to have been a technical error.

According to PANews, citing The Block, the bot “accidentally” sent all of its Memecoin holdings to a user identified as “treasure David” on X. The incident highlights the technical risks of AI-driven trading, caused by a software bug.

Regulators are also monitoring related threats, including fraudsters using AI hype to scam investors. Germany’s BaFin recently flagged 20 unauthorized platforms, while the U.S. Commodity Futures Trading Commission noted that AI trading tools fall under existing oversight rules, urging investors to verify providers before committing funds.

Coding Error Drains AI Trading Bot

Lobstar Wilde was developed by OpenAI employee Nik Pash to manage and distribute its own Memecoin tokens. At the time of the incident, it held about 5% of the token’s total supply.

The transfer occurred after the user requested 4 SOL tokens on X. Instead of sending the intended 52,439 tokens, the bot transferred about 52,439,000 tokens, valued at roughly $250,000. Due to limited liquidity , the recipient was reportedly able to sell only about $40,000.

Crypto Community Questions AI Trading Safety

There has been no indication that the transfer was reversed, and no further details have been disclosed about safeguards or internal review.

Following the incident, Lobstar Wilde continued to post tasks on X, offering token rewards of about $500 worth of Lobstar tokens to users who completed assignments.

The event triggered discussion in the crypto community. Some users questioned the reliability of autonomous agents managing digital assets, while others raised concerns about AI-driven trading risks. One comment circulating online referred to “the era of the largest fraud in human history,” reflecting fears that similar incidents could be exploited or repeated.

An artificial intelligence crypto trading bot known as Lobstar Wilde transferred tens of millions of tokens to a social media user after what appears to have been a technical error.

According to PANews, citing The Block, the bot “accidentally” sent all of its Memecoin holdings to a user identified as “treasure David” on X. The incident highlights the technical risks of AI-driven trading, caused by a software bug.

Regulators are also monitoring related threats, including fraudsters using AI hype to scam investors. Germany’s BaFin recently flagged 20 unauthorized platforms, while the U.S. Commodity Futures Trading Commission noted that AI trading tools fall under existing oversight rules, urging investors to verify providers before committing funds.

Coding Error Drains AI Trading Bot

Lobstar Wilde was developed by OpenAI employee Nik Pash to manage and distribute its own Memecoin tokens. At the time of the incident, it held about 5% of the token’s total supply.

The transfer occurred after the user requested 4 SOL tokens on X. Instead of sending the intended 52,439 tokens, the bot transferred about 52,439,000 tokens, valued at roughly $250,000. Due to limited liquidity , the recipient was reportedly able to sell only about $40,000.

Crypto Community Questions AI Trading Safety

There has been no indication that the transfer was reversed, and no further details have been disclosed about safeguards or internal review.

Following the incident, Lobstar Wilde continued to post tasks on X, offering token rewards of about $500 worth of Lobstar tokens to users who completed assignments.

The event triggered discussion in the crypto community. Some users questioned the reliability of autonomous agents managing digital assets, while others raised concerns about AI-driven trading risks. One comment circulating online referred to “the era of the largest fraud in human history,” reflecting fears that similar incidents could be exploited or repeated.

Topics
AI
crypto
cryptocurrency
meme coins
X Wallet
About the Author: Tareq Sikder
Tareq Sikder
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A Forex technical analyst and writer who has been engaged in financial writing for 12 years.

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