The Ethereum network has recovered after suffering two performance issues in the past 24 hours that resulted in blocks not being finalized.
In a Friday tweet, the pseudonymous Ethereum developer Terence.eth revealed that the network has begun finalizing blocks, adding that the client, the software that runs Ethereum nodes, will be updated to address the issue. Issuing.
Terence.eth said, “Mainnet just finalized, but not out of trouble. Clients rolling out patches today. Stay tuned.”
The blockchain experienced what is being described as technical issues on Friday that caused the network to stop finalizing blocks for more than an hour.
This was the second such incident within 24 hours, sparking major security concerns for users of the Ethereum blockchain, the second-largest blockchain by market capitalization.
Finalized blocks play an essential role in providing proof-of-work verification, making networks like Ethereum easy to trust and reliable to use.
In Ethereum, finalization takes about 15 minutes and refers to the guarantee that a block cannot be changed or removed from the blockchain without burning at least 33% of the total staked ETH. According to the Ethereum Foundation,
Despite its technical hitch, the Ethereum network began finalizing blocks and continued to operate effectively.
Ethereum’s credibility at stake amid performance issues
Ethereum’s performance issues within the last week could taint its credibility in the eyes of builders.
Network reliability is essential for a blockchain to attract users and capital, and Ethereum has historically been seen as the most stable network in the market.
Some services built on top of Ethereum, such as DYDX, a major crypto exchange platform, had to temporarily halt deposits due to Ethereum’s lack of finality.
“The second wave is over, but I fully expect a third,” superphys.eth, a self-proclaimed “Ethereum Beacon Chain Community Health Advisor,” tweeted after today’s event.
The Ethereum guru advises validators to increase their hardware specs if they can, switch to minority clients, and apply patches when they become available. He added:
“But really don’t worry too much. As bad as it looks, the series keeps going and eventually finalizes.”
Ethereum has become an integral part of the blockchain ecosystem, hosting a multibillion-dollar network of financial infrastructure and other applications.
According to data from DefiLlama, the total value locked (TVL) in the Ethereum network currently exceeds $27 billion.
Liquid staking platform Lido Finance accounts for the bulk of that figure, with over $12 billion in TVL. MakerDAO, AAVE, and Curve Finance are the next three largest DeFi platforms on Ethereum.
Meanwhile, Ethereum’s native token ETH is trading at around $1,800, up 2.0% over the past day. The coin is down about 7% over the past week.