Stacks, a layer 2 network for Bitcoin, faced a major outage that lasted for over 9 hours recently. During this time, user transactions and blocks were left unprocessed due to block reorganization (reorgs) on the layer 1 Bitcoin network and unexpected behavior from miners.
The official Stacks Status account acknowledged the delay in block production and reassured users that core developers were investigating the issue and working to resolve it as quickly as possible. The outage was primarily caused by miners not updating their software after the reorg on the Bitcoin network, leading to Stacks being inactive for an extended period.
As a result of the outage, the native asset of Stacks, STX, saw a significant drop in value, falling by 12% to around $1.90. Additionally, many users were unable to move their assets or utilize the various decentralized applications (dApps) on the layer 2 network. Stacks is known for allowing developers to create dApps, NFTs, and more while leveraging the security of the Bitcoin network.
Muneeb Ali, the co-founder of Stacks, mentioned that a new upgrade to the Stacks blockchain is in the works to prevent similar outages in the future, even in the event of reorgs and unexpected miner activity on the layer 1 network. The Nakamoto upgrade, initially scheduled for late spring, has been delayed to August to address necessary fixes and improvements.
Ali highlighted that the new consensus mechanism in the Nakamoto upgrade will eliminate the risk of block slowness and forks, making it the primary focus of development activities for Stacks. This upgrade aims to enhance the overall stability and reliability of the network, ensuring smoother operations in the future.
Overall, the recent outage experienced by Stacks sheds light on the challenges faced by layer 2 networks operating on top of existing blockchain platforms. The incident serves as a reminder of the importance of continuous development and upgrades to address potential vulnerabilities and ensure seamless user experiences within the decentralized ecosystem.
