$1.88M Wiped Out As Sui Blockchain Suffers Third Outage Before Recovery

Leveraged traders betting on a price recovery got hit hardest when the Sui blockchain went down for the third time in under 48 hours. Data from CoinGlass shows that long positions accounted for $1.72 million of the $1.88 million in SUI liquidations recorded during the latest disruption.

The Ripple Effect On Price

SUI fell to $0.9035 on Binance following the third stall, extending a slide that has now reached roughly 8% since the trouble began on May 28. The $1.00 support level — one that held for much of 2024 — was broken during the selloff, with the token down around 16% over the past week.

The third outage hit during an epoch transition on May 29 at approximately 4:30 PM EDT. Validators were up and generating system transactions, but user transactions stopped flowing entirely.

The Sui team later traced the failure to a latent bug in how a specific failure state is preserved across validator restarts, which prevented the network from completing its move to the next epoch.

Validators deployed a fix addressing both the bug and the affected epoch, and the network came back online shortly after.

How Three Outages Unfolded

The problems started on May 28 when a crash bug in the gas charging logic — introduced in version 1.72 of Sui’s software — brought the mainnet to a halt for roughly five hours and 55 minutes.

No new checkpoints were recorded during that window. After more than two-thirds of the validator stake upgraded to a patched version, the network came back online on May 29 at around 8:32 PM UTC. No user funds were lost.

Relief was brief. A second stall was reported hours later, around 12:19 PM UTC on May 29, with the status page flagging it as a major outage.

The Sui team acknowledged the interim fix had only addressed part of the problem, and the network hit a variation of the same underlying issue. Service resumed at around 11:34 AM EDT before the third and final disruption arrived that same afternoon.

Reports indicate the root cause across all three outages connects back to changes in the gas charging logic introduced to support zero-fee stablecoin transfers on the network.

This is the third significant disruption Sui has faced in 2026 alone. A six-hour consensus divergence event struck in January, and a congestion-related outage hit in November 2024. The Sui team has said a detailed incident review is coming.

Featured image from Driver Easy, chart from TradingView