MegaETH Response to Community Concerns on Pre-Deposit Event: User Fund Security, Withdrawal Open
Source: MegaETH
Editor's Note: Yesterday, MegaETH held an open deposit event, during which temporary changes to the hard cap and user deposit difficulties led to some community dissatisfaction. Subsequently, MegaETH's official team responded on social media, apologizing and announcing the upcoming opening of withdrawals, emphasizing user fund security.
Below is MegaETH's recap of the event and response to the community:
The situation that occurred earlier was unacceptable to us. A series of minor technical issues compounded, resulting in a user experience below the expected standard.
We understand that some users may wish to withdraw their funds, especially those participants who deployed funds based on the expected $250 million limit. To address this, we will launch a withdrawal page in the coming days and simultaneously release detailed instructions on the deposit bridging event. User funds were never at risk, and we sincerely thank everyone for their support.
Event Recap
Given the scale of participation, we believe it is necessary and transparent to recount the events for collaborative planning of next steps. While the assets were always secure, this is not an excuse—we hold ourselves to a higher standard.
Below is a full retrospective of the event:
Preparation Phase
It is necessary to outline all steps involved in the event:
1. Deposit Website
→ Operated by MegaETH
→ Sent KYC validity verification request to Sonar API
2. Deposit Smart Contract
→ Managed by MegaETH through a Safe multi-signature wallet (4/6)
→ Responsible for setting the sale time, limit parameters, and Sonar Sale Unique Identifier (SaleUUID)
→ Only accepted valid signature deposits from the website, preventing bot operations
3. Sonar System
→ Operated by Echo
→ Responsible for validating KYC information for specific sales
Issue Root Cause
The following are issues encountered during the event:
SaleUUID Mismatch Exception
· Transaction initiation failed due to a mismatch between the SaleUUID stored in the prepayment contract and the system
· Correcting the erroneous value requires a multisig transaction (involving coordination of 4 out of 6 signers), consuming significant coordination time
Sonar Rate Limiting and System Downtime
· Sonar began blocking access requests due to misconfigured rate limits (threshold set too low)
· Users were unable to complete fund deposits
· Root cause identification and deployment of a fix took 23 minutes after the issue was discovered
Random Restart Mechanism
· After resolving all server issues, the system randomly restarted as per the predefined automation (designed to ensure fairness)
· However, upon system restart, the fundraising cap was instantly reached
Unexpected Influx of Funds
· A sudden surge of $250 million flooded the prepayment website continuously
· The team decided to increase the cap to $1 billion at the next hour mark (approximately 40 minutes later), requiring another 4 out of 6 multisig transaction to adjust the parameters
· The team has completed signature collection and is ready to submit at the scheduled time
· However, the operator executing the cap increase transaction is unfamiliar with the Safe wallet functionality
$500 Million Cap and Pause Decision
· At this point, more users constantly refreshing the website discovered the ability to resubmit deposits, while users following official channels did not promptly realize the cap adjustment
· The team initially attempted to set a $4 billion new cap to balance the advantage of early depositors, but deposits exceeded the expected amount during transaction confirmation
· The cap was eventually successfully set at $5 billion (currently fully allocated)
Due to the rapid changes in the final adjustment in the last hour, we have decided to pause the planned cap increase to $10 billion. As there is still a KYC verification obstacle that has not been fixed and is hindering user participation, we will no longer proceed with raising the fundraising cap.
This article is contributed content and does not represent the views of BlockBeats.
You may also like

MAGA Up 350% in 24 Hours, PEPE Up 46% in One Day: Which Memecoins Are Next in 2026?
MAGA +350% in 24hrs. PEPE +46% in one day. RAVE +4,500% then -90%. In 2026's memecoin market, the gains are real. So are the traps? Here's how to tell the difference before you buy.

RCD Espanyol vs Real Madrid: Can the Pericos Delay the Inevitable?
RCD Espanyol vs Real Madrid lineups, standings, and stats for May 3, 2026. Real Madrid visits RCDE Stadium as Barcelona closes in on the LALIGA title. Full preview inside.

MegaETH goes live with an FDV exceeding 2 billion USD. Which ecological projects are worth paying attention to?

Dialogue with "Wood Sister" Cathie Wood: The next bull market is about to arrive

Can prediction markets win the competition for perpetual contracts?

Who is trading on Trade.xyz?

Binance quietly placed a bet on a leading large model company

Best Crypto Discord Server 2026: Why Jacob’s Crypto Clan Is Gaining Massive Attention
Jacob’s Crypto Clan has grown into one of the most active crypto Discord communities, with over 45K members and continuing to expand. This rapid growth reflects strong demand for structured trading insights and real-time collaboration.

Tom Lee Buying ETH: Why Wall Street’s Loudest Ethereum Bull Keeps Doubling Down
Tom Lee keeps buying ETH through every dip, every drawdown, and every moment of market doubt. Inside the strategy that's turning Ethereum into a treasury asset — and what it signals for the rest of the market.

Stripe Sessions 2026: AI Agent, Global Payments, and Invisible Crypto Infrastructure

Where will South Korea's cryptocurrency taxation head?

Legendary investor Naval: Apple is dead, SaaS will follow suit, and entrepreneurs have 18 months to reshape their moats

Morning Report | Visa includes Polygon in its global stablecoin settlement program; MoonPay invests $100 million to acquire security company Sodot; Digital wallet platform Belo completes $14 million Series A financing

Full text of the Federal Reserve's decision: Holding steady for the third consecutive time but increasing divisions

Dan Bin takes action, building a position in Circle

The Impossible Triangle of DeFi Lending

Bitcoin ETF News: Why Bitcoin Is Falling Even After $2.43B ETF Inflows in April
Bitcoin ETF news today shows $2.43B in April inflows as institutions absorbed thousands of BTC, yet the price dropped from $79K to $76K. Traders are now watching whether the $80K resistance breaks or triggers another pullback.

What Is RWA in Crypto? Real-World Assets Explained (2026 Guide)
What Is RWA in Crypto?RWA stands for Real-World Assets — traditional financial assets like bonds, real estate, gold, and private credit that have been converted into blockchain tokens.
MAGA Up 350% in 24 Hours, PEPE Up 46% in One Day: Which Memecoins Are Next in 2026?
MAGA +350% in 24hrs. PEPE +46% in one day. RAVE +4,500% then -90%. In 2026's memecoin market, the gains are real. So are the traps? Here's how to tell the difference before you buy.
RCD Espanyol vs Real Madrid: Can the Pericos Delay the Inevitable?
RCD Espanyol vs Real Madrid lineups, standings, and stats for May 3, 2026. Real Madrid visits RCDE Stadium as Barcelona closes in on the LALIGA title. Full preview inside.




