Sui has rolled out its Mysticeti v2 consensus upgrade, a major step in blockchain evolution that introduces a Directed Acyclic Graph (DAG) architecture. This new model enables the network to handle up to 100,000 transactions per second (TPS) with a latency of just 390 milliseconds, addressing long-standing scalability and efficiency challenges.
The upgrade replaces the earlier Narwhal-Tusk protocol, integrating transaction validation directly into the consensus process for parallel execution. This reduces validator CPU demand by 50% and lowers bandwidth usage by eliminating redundant cryptographic signatures. A new Transaction Driver submission flow sends transactions to a single validator, further cutting resource consumption and improving performance, particularly in regions like Asia and Europe.
In Q4 2024, Sui experienced a 153% quarter-over-quarter surge in daily transactions, reaching 8.4 million, with a peak of 58.4 million in early October. Daily active addresses grew by 35.6% to 875,000, supported by DeFi adoption and features like sponsored transactions and zkLogin. Institutional interest strengthened with the launch of the VanEck Sui Exchange-Traded Note (ETN), and future roadmap items include Remora for horizontal scaling and Programmable Peer-to-Peer Tunnels to enhance real-time applications.
