Algorand has undergone an upgrade that places its layer 1 protocol as one of the fastest in crypto. Upgrading Algorand’s proof-of-stake network involved changing the network’s mainnet transaction capability.
After the upgrade, the transaction capacity jumped up to 6,000 transactions per second (tps).
The blockchain has also introduced improvements in cross-chain communication and transaction speed with this latest update to its protocol.
This upgrade mainly introduces proofs of state into the crypto mainnet and it meant the introduction of trustless communication between different blockchain protocols.
The current cryptocurrency processing speed was 1,200 and it has now increased to 6,000 transactions per second.
Along with these major changes, this upgrade also brings many new tools for developers.
They include random on-chain capabilities for decentralized applications (DApps) running on Algorand.
On-chain randomness has been a key feature of the Algorand PPO consensus, in this consensus network validators are chosen randomly and not based on the respective number of Algorand tokens staked.
Introduction of status proofs
The Algorand upgrade added proofs of state to the network and made trustless cross-chain communication possible by securing multiple blockchains without the need for a third party.
In order to understand what proof-of-state is, it is a new technology in which the market will solve the problem of dependency on blockchain networks on bridges and centralized validation networks.
This feature will eliminate exploits and attacks that have become commonplace with bridges.
Algorand founder Silvio Micali said:
Algorand proves once again that decentralization doesn’t have to come at the expense of performance or security. Interoperability between blockchains is the future, and Algorand’s proofs of state are an essential security feature for communication between networks.
The upgrade also improved the Algorand ecosystem by bringing new tools to fully enhance the network and is now better suited for decentralized applications across different industries.
In any case, Algorand has been named as an already established high performance layer 1 blockchain and has a verifiable carbon negative status which has helped Algorand.
Better post-upgrade security guarantees
Transaction per second is usually the measure of speed and is not correlated to finality and this is when a transaction is considered processed and finalized on the blockchain.
Regarding the finality, in terms of guaranteeing security, the transaction should not be canceled and should be taken into account when evaluating TPS in blockchains.
Paul Reigle, Chief Product Officer, said of the upgrade that proofs of state will be an important and innovative element when it comes to securing blockchain interoperability.
Founder, Silbio Micali was also of the same belief in saying that state evidence is important.
Despite this, decentralization need not be dangerous or underperforming.
This is an “essential security feature for communication between networks”.