MegaETH’s pre-deposit occasion unraveled on Tuesday after a cascade of technical failures disrupted what was meant to be a managed opening for verified customers.
In an X publish, the staff said that configuration errors and rate-limit points prompted the platform’s Know Your Buyer system to fail. The pre-deposit was an early window for verified customers to lock in MEGA token allocations.
Along with the KYC failures, a completely signed Secure multisig transaction — ready for a later cap improve — was executed prematurely, permitting new deposits to circulate in and pushing the elevate previous its meant $250 million restrict.
“The $250M cap is stuffed by individuals who had been spamming refresh on the Pre-Deposit Web site and had been capable of catch the random opening time,” the protocol mentioned.
MegaETH finally froze deposits at $500 million and scrapped plans to broaden the elevate to $1 billion. A retro and a withdrawal possibility shall be launched shortly.
“At no level had been property in danger, however that doesn’t matter; we anticipate increased of ourselves and there are not any excuses,” the staff added.
MegaETH is an Ethereum layer-2 protocol designed to ship ultra-low-latency block processing and throughput, akin to a real-time Web2 utility.
Some customers praised MegaETH’s transparency in explaining what occurred, however others had been much more essential. AzFlin, a developer and DAO founder, argued that the errors might have been prevented if engineers had been extra cautious.
Associated: Aztec launches decentralized and private Ethereum L2 on mainnet, almost
MegaETH’s oversubscribed public sale recap
The pre-deposit window got here on the heels of MegaETH’s MEGA token auction, which opened on Oct. 27 and was totally subscribed inside minutes.
That sale provided 5% of the 10-billion-token provide, with bids starting from $2,650 to $186,282 and an elective one-year lock-up that supplied a ten% low cost.
The public sale closed on Oct. 30, finally drawing greater than $1.3 billion in commitments and turning into one of many 12 months’s most crowded raises.
As a result of contributions far exceeded the cap, MegaETH mentioned it could depend on a “particular allocation mechanism” to find out the quantity every participant finally receives.
MegaETH is constructed by MegaLabs, a staff backed by main trade figures together with Ethereum co-founders Vitalik Buterin and Joe Lubin.
Following its testnet launch in March, the undertaking is now focusing on 100,000 transactions per second with sub-millisecond latency. The MEGA token is about to launch in early 2026.
Journal: MegaETH launch could save Ethereum… but at what cost?
