Algorand has introduced new cross-chain communication and transaction speed improvements with its latest protocol upgrade.
Huge increase in processing speed
The blockchain network announced the implementation of “State Proofs” on its mainnet. This in turn introduces a reliable form of communication between various blockchain protocols. State Proofs are cryptographic proofs of the state of Algorand that allow DApps on other blockchains to reliably verify Algorand’s transactions.
In addition, the upgrade also significantly increased the processing speed of the Algorand network. Where the network was previously able to process 1,200 transactions per second, that figure is now at 6,000 transactions per second.
Several new tools for developers have also been delivered, as well as new on-chain capabilities for decentralized applications (DApps) running on the Algorand network.
With the introduction of State Proofs, Algorand can securely connect to other blockchains, without a person having to intervene. Cross-chain interoperability and connectivity has been primarily enabled by cross-chain bridges and validator networks – which have been subject to high-level abuse of late.
Groundbreaking Security Feature
According to Algorand, the quantum-secure, reliable State Proofs is a good solution for the centralized nature of storage points in existing cross-chain service providers and platforms. Cross-chain bridge operations have resulted in the loss of more than $2 billion in 2022 alone, and this amount could potentially rise further.
Algorand Chief Product Officer Paul Riegle said the upgrade is an important step in facilitating the growth of Web3 platforms running on the network. He said the following about this:
From State Proofs, a breakthrough security feature for blockchain interoperability, to increased TPS, we unlock the tools needed for Web3 applications to unleash their huge potential.
Algorand’s upgrade comes at the right time, as Ethereum (ETH) is on the cusp of its transition from Proof-of-Work (PoW) to Proof-of-Stake (PoS) consensus, with The Merge in the coming weeks will take place. The move from Ethereum to PoS will dramatically improve network scalability and efficiency while reducing its carbon footprint.