Solana Staking Network Brings Market Close to Halt with 28.83% Offline
Solana's staking ecosystem suffered a significant disruption on [Date] due to a routing failure at Teraswitch, a staking infrastructure provider. The incident pushed 28.83% of all staked SOL offline for approximately 33 minutes, affecting around 90 validators.
The outage brought the network close to the 33.34% threshold that could have halted transaction confirmation. Marinade Finance, a leading liquid staking protocol on Solana, reported that 94% of the stake held by Teraswitch went offline simultaneously.
The incident highlights concentration risks in Solana's validator ecosystem. When a large portion of staked SOL is controlled by entities sharing the same infrastructure, a single point of failure can have significant effects on network stability.