On October 11, 2025, the cryptocurrency market experienced a massive $19 billion liquidation event, during which Lighter, a decentralized perpetual exchange, faced a significant outage. The disruption resulted in the loss of three transaction batches and a 5.35% reduction in its liquidity pool (LLP).
Beosin, a Web3 security firm, identified that Lighter's dependence on a single sequencer and bottlenecks in ZK-SNARK proof generation were key factors in the system's failure. The CEO admitted that a delayed database upgrade further hindered the platform's ability to manage the increased transaction volume.
Lighter Exchange Outage Amid $19B Crypto Liquidation
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