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Home » VeChain Activates Galactica Phase, Ushering in Major Upgrades

VeChain Activates Galactica Phase, Ushering in Major Upgrades

Mainnet Enhancements Strengthen Functionality, Security, and Future Vision

Kelly Cromley by Kelly Cromley
Jul 3, 2025
in Market News, News
Reading Time: 2 mins read
0
vechain

VeChain has officially deployed the Galactica phase of its Renaissance roadmap onto the VeChainThor mainnet, introducing a series of core protocol upgrades that signal a substantial advancement in the blockchain’s ongoing development. This rollout marks a major achievement for the platform as it prepares for deeper innovation and a shift toward greater decentralization and developer accessibility.

The Galactica phase brings four critical updates to the VeChainThor network, each aimed at improving efficiency, scalability, and user experience. Among these, the introduction of the Dynamic Fee Market, or VIP-251, is particularly notable. Drawing inspiration from Ethereum’s EIP-1559 mechanism, this system introduces a flexible gas fee model that adjusts in real-time based on network activity. This upgrade is expected to limit spam attacks while promoting transaction efficiency. It also incorporates a deflationary feature by burning 100% of base fees, thereby steadily reducing the circulating supply of VTHO with every transaction.

In another step toward interoperability with Ethereum, the Shanghai EVM Upgrade (VIP-242) synchronizes VeChainThor with Ethereum’s Shanghai release. This update includes the integration of PUSH0 opcodes and enhanced gas cost efficiencies. The alignment not only lowers entry barriers for Ethereum-based developers but also supports compatibility with existing tools and smart contracts, while retaining VeChain’s multi-token architecture.

Further bolstering transaction functionality, VeChain has implemented VIP-252, introducing Typed Transactions. This upgrade creates a standardized format for transaction envelopes, allowing for diverse transaction types to be processed concurrently without affecting ongoing blockchain operations. This enhancement is designed to improve flexibility and scalability within the network’s transaction layer.

Complementing these technical improvements, the Extension Contract upgrade from version 2 to 3 (VIP-250) has also been rolled out. Originating from community-driven proposals, this improvement enhances smart contract interaction by optimizing execution paths and expanding the protocol’s modular capabilities. The inclusion of such community contributions at the core layer reflects VeChain’s increasing openness to decentralized innovation.

https://t.co/V0b7EuPqw1

— VeChain (@vechainofficial) July 1, 2025


Roadmap to Decentralization and Tokenomics Overhaul

The Galactica launch is only the first step in VeChain’s broader Renaissance initiative, with additional milestones already scheduled for the coming quarters. The StarGate staking platform and newly defined Economic Node tiers are among the next upgrades on the roadmap. These features aim to expand user participation and introduce refined staking incentives that better align with long-term ecosystem growth.

A more transformative phase, titled Hayabusa, is set to arrive in the third quarter of 2025. This phase will bring sweeping changes to VeChain’s tokenomics, shifting toward a stake-based VTHO generation model and implementing advanced governance enhancements. By the fourth quarter of the same year, VeChain intends to transition to a decentralized Validator system, replacing the current Authority MasterNode framework. This shift is expected to significantly strengthen the platform’s decentralization and community governance.

With the Galactica phase now live on mainnet, VeChain has laid the groundwork for a new era of protocol-level advancements. These upgrades not only improve present-day performance but also pave the way for a more scalable, secure, and community-driven blockchain future.

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