1. In the case of an Automatic update, Daedalus wallet prompts users to upgrade to the latest version. Users click on Update and restart which closes and terminates the Daedalus wallet program, but does not immediately terminate the Cardano node running in the background.
2. Some users do not see any activity and try to restart the Daedalus wallet.
3. The update will then attempt to run while Daedalus wallet is open and running on the user's machine. This causes the Cardano node to crash. On macOS the user sees a Node Crashed error; on Windows the user sees a Cannot Connect to Network.
The installation of the update will not happen immediately because the installation is designed to wait for the Cardano node to close. This leaves the user wondering what to do and in some cases, the user will start Daedalus again before the installation starts. Daedalus is, therefore, running on the user's machine while they are updating Daedalus wallet. This causes an error because the updated cannot proceed while the software is running in the machine.
Restart your computer and
1. Open Daedalus and use the prompt to upgrade again. Wait for more 60 seconds after Daedalus wallet closes and allow the installation to start.
2. If you restart and do not get a prompt to update in Daedalus then reinstall the Daedalus wallet:
a) Restart your computer again (to kill all Daedalus processes)
b) Uninstall Daedalus application (no need to delete DB or Wallet folder)
c) Download latest version of Daedalus wallet from https://daedaluswallet.io/#download
d) Install Daedalus wallet
3. If 1 and 2. does not work... delete everything and start all over again