Tezos (XTZ) Activates Paris Protocol Upgrade, Enhancing Scalability and Staking
Tezos' Paris protocol upgrade enhances blockchain scalability and staking.
The Tezos (XTZ) blockchain has successfully activated its Paris protocol upgrade, marking a significant milestone in the platform's development. The upgrade, which went live on June 4, 2024, at block #5,726,209, introduces several critical enhancements aimed at improving scalability and staking, according to Nomadic Labs.
Data-Availability Layer Introduced
One of the major features of the Paris upgrade is the introduction of the Data-Availability Layer (DAL). This new layer is designed to significantly boost throughput for Smart Rollups, including Etherlink. Tezos bakers are encouraged to participate in the DAL, which requires different hardware and bandwidth compared to Layer 1 baking.
The DAL marks a crucial step for Tezos' long-term scalability, allowing bakers to attest on Layer 1 about which data are available. Participation in this process, while optional, is highly recommended to maximize the benefits of the new upgrade.
Adaptive Issuance and New Staking Mechanism
The Paris upgrade also brings changes to staking with the introduction of Adaptive Issuance. This mechanism adjusts staking rewards based on the share of the total tez supply involved in staking. Initially, the rate will fluctuate between 4.5% and 5.5%, expanding over six months to a range of 0.25% to 10%.
A new staking mechanism complements delegation and offers twice the rights and rewards compared to traditional delegation. However, staked funds will be frozen and subject to slashing if the baker misbehaves. Bakers are advised to review their setups and familiarize themselves with the new staking policies to ensure compliance and optimal performance.
Future Prospects and Community Engagement
The successful activation of the Paris upgrade sets the stage for future developments, including the upcoming 'Q' proposal. The Tezos community's involvement has been instrumental in shaping these features, and continued collaboration is anticipated.
Tezos enthusiasts are also looking forward to TezDev 2024, the annual flagship conference, which will take place on July 11 in Brussels. The event promises to offer further insights and discussions on the latest advancements in the Tezos ecosystem.
With the Paris upgrade now live, Tezos aims to offer faster finality and enhanced scalability, benefiting both current and future projects on the blockchain.
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