Hundreds of Thousands of Ethereum Users Face Delayed Capital Withdrawal on PoS Network Due to Sudden Queue Increase.
Since mid-July, the number of exit requests from the Ethereum Proof of Stake (PoS) network has surged, causing delays of over 12 days. The reason is believed to be the 2% reward program from Robinhood stimulating withdrawal demand.
- The number of users waiting to withdraw ETH on the PoS network increased from nearly 2,000 to almost 700,000 in just 10 days.
- The current withdrawal waiting time extends beyond 12 days, severely impacting user experience.
- Robinhood's 2% reward program is considered the primary catalyst for strong capital withdrawal demand.
Why are Hundreds of Thousands of Ethereum Users Waiting to Withdraw Capital on the PoS Network?
Data from validatorqueue shows Ethereum exit requests on the PoS network skyrocketed from 1,920 on July 16th to a peak of 743,800 on July 26th.
This increase led to severe congestion, slowing down users' capital withdrawal process. In mid-July, there were no significant withdrawal waiting times, reflecting an unpredictable surge in demand. The over 12-day delay directly affects liquidation and user experience.
Blockchain technology experts analyze that this situation highlights technical limitations and transaction processing mechanisms when request volumes unexpectedly spike.
How Does Robinhood's Reward Program Affect Ethereum Withdrawal Behavior?
Cathie Wood, CEO of ARK Invest, suggests the surge in ETH withdrawal requests is closely related to Robinhood's newly launched 2% reward program.
"Robinhood's 2% cashback program has stimulated a large number of users to accelerate ETH withdrawals, putting pressure on the PoS network."
Cathie Wood, CEO ARK Invest, July 2024
The powerful financial reward program created motivation for users to quickly withdraw capital, leading to network overload. This phenomenon reflects the cryptocurrency market's high sensitivity to direct profit-stimulating policies.
Simultaneously, this serves as a warning to PoS network developers and operators about enhancing processing capacity and predicting user demand to avoid similar congestion in the future.
What are the Consequences and Current Solutions to This Situation?
Delaying ETH withdrawals causes numerous disadvantages such as reduced liquidation, loss of user trust, and potential risks when users urgently need capital.
Ethereum network experts recommend solutions like increasing Validator throughput, improving transaction processing mechanisms, and coordinating adjustments to external reward programs. Enhancing technical architecture and capital withdrawal queue management processes are necessary to ensure stable operation.
"Improving capital withdrawal request processing capabilities is a top priority to maintain stability and trust in the Ethereum PoS network."
Ethereum Foundation Development Team, 2024
Additionally, the user community should closely monitor official announcements to plan capital withdrawals rationally and avoid being stuck during future sudden spikes.
Frequently Asked Questions
Why is There a Queue for Ethereum Withdrawal on the PoS Network?
When the number of exit requests exceeds the network's processing capacity, the system automatically creates a queue to ensure transactions are processed sequentially, leading to queuing.
What is the Current Waiting Time for Withdrawal?
The latest statistics show that Ethereum withdrawal waiting time on the PoS network can extend beyond 12 days due to a sudden increase in requests.
How Does Robinhood's Reward Program Affect the Ethereum Network?
The program creates motivation for rapid ETH withdrawal, leading to a sudden surge in exit requests and causing congestion on the Ethereum PoS network.
Does Ethereum Foundation Have Measures to Reduce Congestion?
Ethereum Foundation proposes enhancing validator capacity and improving transaction processing procedures to minimize congestion in the future.
Should Users Continue Withdrawing ETH at This Time?
Users should closely follow official information and consider planning capital withdrawals rationally to avoid being stuck due to extended waiting times.
