Stable deposit suspension: What issues have arisen from Bitfinex's latest Decentralized Finance push?

After the vault issue, Stable's second phase deposit is frozen.

The team behind Stable has suspended deposits for its second phase pre-staking activities due to technical issues. This suspension comes less than two weeks after the controversial first phase activities.

What happened

The second phase is scheduled to start on November 6 at 9 AM (Eastern Standard Time), using the yield protocol Hourglass.

But users encountered problems:

• The Hourglass network portal repeatedly requests signing the terms of service agreement.
• The Hourglass website crashed due to what they described as "abnormally high traffic."
• Some users bypassed the website and made deposits directly through the smart contract (via Etherscan). Hourglass replied that it will not accept contract-level deposits and that redemption must be made.

Three hours after the scheduled start, Stable officially announced a pause and stated that it would communicate the next steps "tomorrow."

This is an important reason.

At first glance, technical glitches are something you might encounter during a high-demand release. But in this case, the context is concerning:

In the first phase, the deposit insurance fund was allegedly pre-filled by insiders just minutes before the public launch – a group of wallets directly related to the fund owners reportedly deposited around $500 million.

The event has raised questions about fairness and enforceability. Now, the failure to smoothly launch the second phase has intensified concerns.

A large anonymous investor (referred to as the "DeFi whale" "CBB") deposited over $15 million in the first round and publicly criticized the project: "The execution of the first and second phases has been so poor that it really makes me wonder if these guys can deploy the blockchain."

In short, the credibility of Stable's launch is under pressure.

Key Points for Users and Investors

• If you plan to participate in the second phase, please wait for now. The deposit window has been suspended until the team shares the new plan.
• If you have interacted through a smart contract in an unofficial manner (for example, depositing directly on Etherscan), please be cautious, as Hourglass indicates that these may not be accepted.
• Pay attention to Stable's official announcements to find out when deposit operations will resume and the related terms.
• This mistake increases the risk: not only typical startup problems but also execution models that could undermine trust.

Conclusion

The launch in Decentralized Finance typically involves risks such as vulnerabilities, traffic overload, and smart contract quirks. However, when a project already has issues of transparency and trust (such as internal pre-fills and large wallet deposits made in advance), the technical problems become even more concerning.

For users and investors, the lesson here is to be cautious in the second phase: wait for clear and reliable communication, and ensure that the terms are confirmed. Until then, pausing deposits is a wise move, even if the underlying reasons are disappointing.