Stacks a top Bitcoin Layer 2 solution faces network problems for the fourth time in 2021
The primary Bitcoin second-layer network, known as Stacks (STX), faced block production issues for the fourth time this year. Stacks is a blockchain that connects to Bitcoin and offers increased transaction throughput, staking, and smart contracts.
On June 14, Colin Wu reported a block interruption on the Stacks network that lasted over nine hours, with block production stopping at height 153917. This was not the first time this issue occurred in 2024.
According to data from explorer.hiro, block 153917 was generated at 1:12 a.m. UTC, while the next block, 153918, took nine hours to appear at 10:20 a.m. UTC, causing a halt in network transactions.
The Stacks network has faced similar problems in the past, described as “block behavior” by the Stacks Status account on X. These block production halts occurred on January 31, March 17, April 2, and June 14, 2024. The most recent issue was attributed to unexpected block behavior and a Bitcoin reorganization, although the Bitcoin network has not undergone a reorganization recently according to X Community Notes.
A Bitcoin chain reorganization involves a new, longer chain replacing the previously accepted one, resulting in the adoption of the new chain and reversal of transactions in the old chain. This can cause confusion and financial losses, impacting second-layer solutions like Stacks. The upcoming Nakamoto update for Stacks aims to address these issues partially.
The Nakamoto update is a significant overhaul of the Stacks network, aiming to resolve block production halts and network congestion. By separating block production from the Bitcoin blockchain, the update is expected to enhance speed and scalability significantly. The introduction of a new consensus mechanism called “proof-of-transfer” will allow Stacks miners to produce multiple blocks between Bitcoin blocks, increasing transaction throughput. Additionally, the update will introduce sBTC, a trust-minimized bridge to facilitate the transfer of BTC into the Stacks ecosystem, promoting the growth of the Stacks DeFi economy.