During an early Monday software update, a glitch caused the New York Stock Exchange (NYSE) to incorrectly halt trading on about 40 stocks. Odd trades displayed a 99% drop in companies, including Warren Buffett's Berkshire Hathaway Inc.

However, this issue was resolved in approximately 45 minutes. The Consolidated Tape Association, operating under an NYSE subsidiary, switched to a backup data center with a different software version to fix it.

Forced Pauses and Quick Fixes

Forced pauses began just before 09:45 in New York as CTA implemented a software update.

This software controls the opening prices displayed on the Securities Information Processor. This feed consolidates bids and asks for quotes from various exchanges.

Around 09:50, traders exchanged about a dozen Berkshire Class A (BRK.A) shares for $185.10.

The stock had closed on Friday at $627,400. Following the incident, the NYSE announced that any trade between 09:50 and 09:51 at or below $603,718.30 will be canceled.

Market Impact and Broader Implications

The disruption did not affect Nasdaq-listed shares and had little impact on the broader market. It occurred as trading infrastructure moved towards one-day settlements, down from two, known as T+1.

A glitch on Thursday left the S&P 500 Index without live pricing for over an hour. Two days earlier, another exchange had interface problems with the data feed.

While the issue is now resolved, Sergey Nazarov, co-founder of Chainlink (LINK), emphasized that traditional financial systems are susceptible to significant weaknesses because of their centralized structure. He outlined how Chainlink's Oracle network could offer a resolution.

"Decentralized oracle networks, which Chainlink invented, can mitigate these risks by providing accurate, tamper-proof data," Nazarov said.

The Role of Oracle Networks

Oracle networks like Chainlink provide smart contracts with the real-world data required to function as financial instruments and business contracts. They decentralize the process of validating data.

This method prevents the single point of failure common in centralized systems. Adopting blockchain technology would allow real-time verification and automated responses to anomalies, which could significantly enhance the reliability and transparency of modern financial markets.

Bitcoin's Impeccable Uptime

Separately, Edward Snowden, an IT system expert and former contractor for the National Security Agency, humorously responded to this incident by writing, "Bitcoin fixes this." Crypto enthusiasts frequently use this iconic one-liner to support the technology.

While this statement is witty, Bitcoin, as a blockchain-based asset, is historically less prone to sudden trading halts like the NYSE experienced.

According to data, Bitcoin has maintained a 99.99% uptime throughout its history. The network has experienced only two downtime events, the last occurring over ten years ago. Since then, Bitcoin has maintained continuous uptime.