Stable Pauses Deposits After Another Pre-Deposit Vault Mishap

Stable, the Bitfinex-backed stablechain, has paused deposits into its Phase 2 pre-deposit campaign following technical difficulties, less than two weeks after its controversial Phase 1 pre-filled almost $800 million.

Phase 2 was slated to launch at 9 am EST on Nov. 6, facilitated by stablecoin yield protocol Hourglass. However, users reported being repeatedly prompted to sign a terms-of-service agreement, and Hourglass’s website crashed due to “exceptionally high traffic.”

The website outage led many users to deposit directly through the smart contract via Etherscan, but Hourglass has said that contract-level deposits will not be accepted and must be redeemed.

Due to ongoing technical issues, Stable announced the official pause of Phase 2 deposits three hours after they were slated to open, and promised to “share the updated path forward tomorrow.”

While technical issues for highly anticipated events are a regular and understandable occurrence in DeFi, Stable’s first deposit vault on Oct. 23 was pre-filled by insiders roughly 20 minutes prior to the public announcement, and $500 million was deposited by a cluster of wallets that were directly linked to the vault owner.

This second strike against Stable has some investors wary. Anonymous DeFi whale CBB, who deposited more than $15 million in round one by tracking onchain activity, took to X today to slam the project and said, “Stable phase 1 & 2 were executed so poorly it genuinely makes me wonder if these guys can even deploy a blockchain.“

The Stable declined to respond to The Defiant’s request for comment ahead of the vault launch.