The Sei Foundation announced a major upgrade to the Sei (SEI) blockchain, leading to a 10% increase in its price.
The Foundation’s announcement about a potential upgrade has led to a bullish rise in the price of the Sei. As a result of the announcement that the cryptocurrency will be moving to version 2 of the Sei blockchain, its value has increased by 10%.
This upgrade will introduce a high-performance, parallelized Ethereum Virtual Machine (EVM). This will enable the network to function significantly more quickly and will be compatible with Ethereum-based contracts.
Proposed V2 Upgrade to Enhance Sei Blockchain
A significant step in the development of the blockchain software is the upgrade proposal that the Sei Foundation has put up to upgrade to version 2 of the software.
Furthermore, Sei Labs asserts that this new version will incorporate a parallelized application virtual machine (EVM), resulting in transaction completion in less than a second and enhancing the user experience.
If the governance proposal receives approval, we plan to deploy the upgrade on May 27.The goal of this transfer is to improve the blockchain’s functionality and increase its compatibility with Ethereum-focused applications.
We expect applications like Uniswap, Frax, and The Graph to function properly on the upgraded network. As a further point of interest, the team emphasizes that this enhancement will transform the blockchain into a formidable competitor in the realm of high-performance networks, alongside other parallelized EVMs like Monad and Neon.
Integration with Ethereum Virtual Machine
In the past, in November 2023, the Lab made an announcement regarding their intention to incorporate EVM functionality into the next V2 upgrade.
The purpose of this integration is to facilitate the seamless movement of Ethereum-based contracts onto the network, which will ultimately result in an improvement in the interoperability and functionality of blockchains.
This connection aims to facilitate the seamless transfer of Ethereum-based contracts onto the network, thereby enhancing the interoperability and functionality of blockchain technology.
Geth, a Go implementation of the Ethereum Virtual Machine, will enhance Sei’s current smart contract framework, which is based on CosmWasm technology.
This will allow for a more seamless connection between the new EVM functionality and the existing framework. Additionally, the V2 intends to provide SeiDB, which is a novel data structure that was developed specifically for the storage layer of the platform where it will be implemented.
This function simplifies the process of state synchronization for new nodes joining the network and aids in reducing state bloat at the network level.
We anticipate significant enhancements in Sei’s performance and scalability through the implementation of these technological advancements.
As a result of the V2 update announcement, it’s market performance has improved, and the stock price has increased by 10% since the announcement.
With regard to the upgrade’s capacity to enhance the network’s functions, this reaction highlights the market’s optimistic view of the improvement.
During the same time period, SEI’s market capitalization and 24-hour trading volume increased by 8.84% and 122%, respectively, to $1,670,526,00 and $120,509,493.
The price of SEI was trading at $0.5705 at the time of this publication, representing an increase of 8.46% from the intra-day low.