This happens randomly and doesn't give any sort of notification such as "please wait a moment" that would lead it to be a connection issue.

To replicate this effect:

1. Jump into the air with whichever skill you'd like

2. Use "Wings of Swiftness" (the version that allows you to turn quickly in the air)

3. While it may seem to work, in the middle of using the skill, this fails and the pegasus suddenly drops from the sky with 5 secs of fall damage resistance so if you're not on the ground by then the horse dies.

This bug doesn't happen all the time, but when it does it's very frustrating and my horse has died multiple times because of it.

Aye, this has been an issue for a while now, seems more prevalent the newer the region is, in my experience.

In many locations the world appears to have a Z axis (vertical) limit and when you hit it your horse stops and drops like a rock.
Some of the places with that issue have been addressed over time, but plenty still exist.

Hope they get to fixing this eventually.

There was a supposed fix for it some time ago but sadly it's still happening. I'm hoping for a complete fix too because it's very frustrating.

I just got mine and this is happening to me as well. Not just once in awhile but constantly. Very disappointed that something I spent so much time to get is basically useless.