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Diiodoethane is a product of the reaction between glycol and $\ce{PI3}$. Why is 1,2-diiodoethane unstable?

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It isn't unstable at all. 1,2-diiodoethane is characterized with a melting point of 80–82 °C, and a mass spectrum with five major peaks. It even serves as the iodine source in some rare earth iodide syntheses. Read about it on Wikipedia.

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