Several cryptocurrency exchanges temporarily halted Kaspa withdrawals in October 2025, raising questions about the underlying technical issues. Experts point out that the problem lies not with the blockchain itself but rather within the ecosystem layer: wallets, APIs, and databases struggled to keep up with the unprecedented number of transactions. A world record 158 million transactions hit Kaspa’s network in a single day. This created bottlenecks in the supporting infrastructure for exchanges and wallet providers, leading to delays in deposit and withdrawals. Blockchain commentator Seb, has provided an analysis of what went down, highlighting that despite the success of Kaspa’s blockchain, ecosystem partners struggled to keep up with the volume of transactions. As a result, some exchanges like Bitget, ViaBTC, and ProBit Global halted deposits and withdrawals for a short time to allow for processing, reconciliation, and balancing, leaving users concerned about liquidity and transparency. While exchanges claim this issue is purely technical and nothing to do with their own platform, many are left confused. Users have started demanding more information and clearer timelines from exchanges. In response to the situation, Bybit has outlined a similar scenario, indicating the problem lies with the Kaspa wallet itself rather than their platform. For users facing the difficulties, here’s how you can stay informed: Set up alert notifications on the deposit and withdrawal page of your chosen exchanges for timely updates. Remember, these temporary delays are not indicative of long-term failures. However, transparency remains crucial to rebuild trust in a crypto ecosystem.