KEY TAKEAWAYS
- VeChain has launched the Galactica upgrade on its mainnet, introducing significant enhancements to the VeChainThor protocol.
- The upgrade includes a dynamic gas fee market inspired by Ethereum’s EIP-1559, introducing a deflationary element to VeChain’s tokenomics.
- VeChainThor now aligns with Ethereum’s Shanghai release, facilitating easier migration of tools and dApps to its ecosystem.
- A new transaction envelope format and additional smart contract functions enhance the protocol’s modularity and efficiency.
VeChain has successfully integrated the first phase of its VeChain Renaissance initiative, known as Galactica, with its mainnet at block 22084200. This upgrade introduces four significant enhancements to the VeChainThor protocol, setting the stage for more transformative changes anticipated later this year. The next phase, Hayabusa, is expected to bring further advancements, including consensus migration and a tokenomics overhaul.
The Galactica upgrade introduces a dynamic gas fee market inspired by Ethereum’s EIP-1559. This system automatically adjusts base fees based on network demand, aiming to prevent spam attacks and promote efficient transaction processing. As part of this change, 100% of base fees are burned, effectively removing VTHO from circulation with every transaction. This introduces a deflationary element to VeChain’s tokenomics. Users can also include priority fees, or “tips,” to expedite transactions, with 100% of these tips going directly to network validators as rewards under the upcoming Hayabusa phase.
VeChainThor now aligns with Ethereum’s Shanghai release, incorporating PUSH0 opcodes and optimized gas costs. This alignment with industry standards facilitates a smoother transition for developers looking to migrate tools, decentralized applications (dApps), and innovations to VeChainThor. The upgrade retains VeChain’s unique features, such as its two-token model, fee delegation, and multi-clause transactions, while opening the platform to the broader Ethereum Virtual Machine (EVM) ecosystem.
A new standardized transaction envelope format has been introduced, allowing VeChainThor to seamlessly identify and process various transaction types. This modular architecture ensures continuous evolution of the protocol without disrupting existing operations or fragmenting the ecosystem. Additionally, community developer DataB4Dishonor has contributed new functions for retrieving transaction clause data, enhancing the efficiency of smart contract interactions.
VeChain Renaissance is a multi-stage initiative, with the next phase, Hayabusa, set to deliver further enhancements. The launch of StarGate is also imminent, promising additional developments in the near future. For more details, the official announcement can be found here.
Why This Matters: Impact, Industry Trends & Expert Insights
VeChain has integrated the Galactica upgrade into its mainnet, enhancing network efficiency and security with features such as a dynamic gas fee market and improved tokenomics.
Recent industry reports indicate that the adoption of dynamic gas fees is a significant trend in blockchain technology. This aligns with VeChain’s introduction of a dynamic gas fee market, which mirrors Ethereum’s EIP-1559 model, aiming to enhance transaction efficiency and security.
A Dapp.expert report highlights expert opinions on VeChain’s tokenomics shift, emphasizing the move towards active staking and increased token burns. This supports the impact of the Galactica upgrade in promoting deflationary tokenomics and incentivizing network participation.
Explore More News:
Disclaimer: The views expressed in this article are those of the authors and do not necessarily reflect the official policy of CoinsHolder. Content, including that generated with the help of AI, is for informational purposes only and is not intended as legal, financial, or professional advice. Readers should do their research before taking any actions related to the company and carry full responsibility for their decisions.
