Arbitrum suffers ‘partial outage’ amid traffic influx

Developers blamed “a significant surge in traffic” for the problem

article-image

CryptoFX/Shutterstock modified by Blockworks

share

A “significant surge in traffic” resulted in a “partial outage” of the Ethereum-based layer-2 network Arbitrum on Friday.

The problem involved Arbitrum’s sequencer. Sequencers are key components of layer-2 networks, serving to process and order transactions in blocks that are then added to the core network — in this case, Ethereum.

The outage has lasted nearly two hours, according to Arbitrum’s status page. “We are working to resolve as quickly as possible and will provide a post-mortem as soon as possible,” the team wrote in a post on X.

Arbitrum’s sequencer suffered a two-hour outage in early June, as Blockworks previously reported. That outage was the result of a software bug, developers said at the time. 

Arbitrum is Ethereum’s largest layer-2 network, encompassing $2.34 billion in total value locked (TVL) and roughly $720 million in transaction volumes over the past day, according to DefiLlama data. 

Layer-2 networks like Arbitrum are designed to offload some transaction volume off the main chain. 

This is a developing story.


Get the news in your inbox. Explore Blockworks newsletters:

Tags

Decoding crypto and the markets. Daily, with Byron Gilliam.

Upcoming Events

Javits Center North | 445 11th Ave

Tues - Thurs, March 24 - 26, 2026

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

recent research

Research Report Templates (3).jpg

Research

IREN closed a transformative capital raise in December, issuing $2.3B in convertible notes alongside a $1.6B equity offering while retiring dilutive legacy converts. The company's full-stack model sets it apart from colocation peers, with the Microsoft contract illustrating the premium economics of owning the entire stack from power to GPUs rather than simply leasing rack space. IREN's 3GW portfolio of grid-connected power positions it as a critical supplier to capacity-constrained hyperscalers, with management guiding to 85% project EBITDA margins and payback periods significantly shorter than traditional colocation models. Near-term catalysts include additional hyperscaler deals at Sweetwater, progress on GPU financing, and potential expansion into Oklahoma as the power scarcity thesis continues to play out.

article-image

BTC finished the week up 1.6%, while L2s, RWAs and the treasury trade continued to grind lower

article-image

DTCC moves DTC-custodied Treasuries onchain via Canton, while Lighter’s LIT launches trading at a fees multiple in Hyperliquid territory

article-image

In the 90s, rapt audiences worldwide watched a coffee pot — will that fascination ever turn to crypto?

article-image

Some systems improve by failing — and crypto has no choice

article-image

Yield Basis introduces an IL-free AMM design that already dominates BTC DEX liquidity

article-image

Maybe tokenholders don’t need the rights that corporate shareholders have come to expect

Newsletter

The Breakdown

Decoding crypto and the markets. Daily, with Byron Gilliam.

Blockworks Research

Unlock crypto's most powerful research platform.

Our research packs a punch and gives you actionable takeaways for each topic.

SubscribeGet in touch

Blockworks Inc.

133 W 19th St., New York, NY 10011

Blockworks Network

NewsPodcastsNewslettersEventsRoundtablesAnalytics