On May 24, 2025, Stacks, a Bitcoin Layer 2 blockchain protocol, officially resumed block production after a critical issue was addressed that had affected its network's performance for over a month. The bug, which was traced back to 2020, was found in the node’s mempool syncing logic and had been causing unexpected degradation in the network’s responsiveness.
This article explores what caused the issue, how it was resolved, and what the implications are for node operators, miners, and the future of Stacks and other Layer 2 Bitcoin scaling solutions.
What is Stacks?
Stacks is a Layer 2 blockchain designed to bring smart contracts and decentralized applications (dApps) to Bitcoin. Unlike traditional altcoins, Stacks builds on the security and stability of the Bitcoin blockchain while adding programmability through its Clarity smart contract language. The Layer 2 network operates alongside Bitcoin, processing transactions that eventually settle on the Bitcoin base layer.
This approach enables faster, cheaper transactions and greater flexibility without compromising Bitcoin’s decentralized and immutable nature.
Background: Network Disruption and the Mempool Syncing Bug
The issue that disrupted the Stacks network dates back to April 18, 2025, when the development team first acknowledged a problem with block production. At the time, it appeared to be a minor bug, and the developers suggested that a simple patch would fix it without requiring significant action from node operators.
However, things escalated on May 19, when block production delays resurfaced after a Bitcoin fork occurred at block 897442. This fork introduced more data into the network, triggering an old, previously dormant bug in the stacks-node's mempool syncing logic.
The mempool—short for memory pool—is the area where pending transactions wait before being added to a block. When a node attempts to sync its mempool with others using remote procedure calls (RPCs), it depends on accurate messaging between nodes. In this case, due to outdated logic in the syncing process, some nodes were sending improper responses. This caused a cascade of issues leading to networking failures and unresponsiveness across the system.
As revealed in the preliminary post-mortem shared by the developers, the bug originated in 2020 and had gone unnoticed because the network didn’t handle large data blocks back then. The scaling of the network in recent years has brought older issues like this to the surface.
Developer Response and Patch Release
In response to the discovery, the Stacks development team quickly released a new node software upgrade, version 3.1.0.0.11, on May 24. This version is designed to fix the bug and is compatible with all existing chainstate directories in the 3.x version family.
The team urged all node operators, signers, and miners to upgrade immediately to ensure full restoration of the network’s performance. As of now, block production has resumed, although the developers warned that “occasional degradation” could still occur until all participants have upgraded to the latest version.
Interestingly, a key part of the resolution involved 70% of signers reverting their chainstate directories to a previous stable version, which allowed partial network functionality to return before the full fix was rolled out.
Why This Matters for Bitcoin Layer 2 Solutions
The incident highlights several critical points about the scalability and reliability of Bitcoin Layer 2 protocols:
1. Layer 2 Needs Rigorous Testing: As these networks grow and handle more data, older or neglected bugs can cause major disruptions. Thorough testing and proactive debugging are essential as more users depend on these platforms.
2. Mempool and RPC Vulnerabilities: The complexity of managing distributed systems becomes apparent when RPC mechanisms and transaction syncing logic break down. Developers must ensure these systems are robust enough for high-load scenarios.
3. Network Coordination is Key: The partial restoration of the network, thanks to signer coordination, shows that collaboration among node operators is essential in crisis recovery. Faster communication and coordinated updates can prevent long-term disruptions.
4. Reliance on Bitcoin Forks: The issue was indirectly triggered by a Bitcoin chain fork, reminding us that Layer 2 systems are heavily dependent on the Bitcoin Layer 1 chain's health and activity. Any changes on the base layer can have ripple effects on Layer 2 networks.
What's Next for Stacks?
While the current bug appears to be resolved, the team at Stacks acknowledged that full stability depends on a complete upgrade rollout across the network. Until then, users may still experience minor delays or inconsistencies in block production.
Looking ahead, Stacks is expected to continue refining its protocol and infrastructure to prevent similar issues. The network is also preparing for further upgrades that could introduce performance enhancements and scalability improvements.
Additionally, the incident has triggered a larger conversation within the community about the importance of maintaining older codebases, especially as networks grow more complex and scalable. Developers and stakeholders are increasingly aware of the risks posed by outdated logic and are emphasizing proactive code maintenance and audits.
Conclusion: Lessons from the Stacks Network Glitch
The recent disruption to the Stacks Bitcoin Layer 2 blockchain serves as both a cautionary tale and a success story in prompt community response and developer coordination.
Key takeaways include:
Legacy bugs can resurface under new conditions, especially in scaling systems.
Reliable node synchronization and RPC behavior are critical for decentralized networks.
Prompt updates and network-wide coordination are crucial during disruptions.
The reliance on Bitcoin’s main chain introduces challenges and dependencies Layer 2 developers must navigate.
As the crypto space continues to evolve, resilient, scalable, and thoroughly-tested Layer 2 solutions will play a vital role in expanding Bitcoin’s utility. Stacks remains one of the leading projects in this space, and while this incident revealed vulnerabilities, the fast recovery also demonstrated the network’s potential and resilience.
For node operators and users alike, the path forward is clear: stay updated, participate in community coordination, and support robust infrastructure development to ensure
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