Author: Vince Quill, CoinTelegraph; Compiled by: Bai Shui, Jinse Finance.
2024 is a significant year for cryptocurrencies and blockchain networks. This year, the U.S. launched exchange-traded funds (ETFs) for Bitcoin and Ethereum, major protocol upgrades for altcoins, and the release of new infrastructure networks.
Here are 10 cryptocurrency projects that implemented significant protocol upgrades or launched mainnets in 2024, in no particular order.
Avalanche9000/Etna protocol upgrade.
The Avalanche9000 upgrade of the Avalanche network, also known as Etna, is regarded as the largest upgrade in the protocol's history, launching on the Avalanche mainnet on December 16 after a testing phase on the Fuji testnet.
This update simplifies the process of launching subnets (now referred to as 'Layer 1') and changes the staking requirements for subnet validators from a fixed 2,000 AVAX to a fee structure based on the number of nodes the validator is running.
According to the Avalanche Foundation, this upgrade reduced the cost of deploying subnets by 99.9% and lowered C-Chain network fees by 96%.
This update also shifts the responsibility of managing validators from the Avalanche P-Chain to Layer 1, giving them greater autonomy and control over their network.
Sui implements the Mysticeti consensus engine.
The Sui protocol is a high-throughput blockchain that implemented the Mysticeti consensus engine in August.
According to a spokesperson for Sui's developer Mysten Labs, this update reduces consensus latency to 390 milliseconds and minimizes cross-validator communication to improve efficiency.
Sui's ability to process a large number of transactions per second (TPS) and its sharded architecture help it and other sharded chains secure a place on the existing smart contract platform Ethereum in 2024.
Mysticeti's throughput and latency. Source: Sui.
The Sonic Foundation launches the Sonic mainnet.
In May 2024, the Fantom Foundation (the organization behind the Fantom network) announced that the Sonic Foundation would oversee the deployment of its Sonic Chain.
Sonic Chain is an EVM-compatible Layer-1 blockchain with sub-second finality, 10,000 TPS throughput, and features the introduction of the Sonic Gateway (a bridge between Sonic and Ethereum).
On December 18, the Sonic mainnet went live. Fantom token holders could switch to the new network by upgrading from FTM to S tokens (the native asset of the Sonic network) on a one-to-one basis.
Hyperliquid launches token, achieving staking.
Hyperliquid is a Layer-1 blockchain optimized for decentralized finance, launching one of the largest token airdrops in cryptocurrency history on November 29.
The project distributed 310 million HYPE tokens to community members, valued at $1.2 billion at issuance. The initial price of HYPE was $3.90, and it is currently trading at approximately $26.8.
On December 30, the Hyper Foundation announced the launch of native staking on the Hyperliquid protocol, allowing users to protect network security by locking tokens in exchange for rewards.
HYPE token price trend. Source: CoinMarketCap.
Ethereum Dencun upgrade goes live.
Ethereum's Dencun upgrade went live on March 13, reducing the fees on Ethereum Layer 2 networks by up to 99%.
However, the significant reduction in L2 network fees due to users migrating to lower-cost Layer 2 solutions also caused Ethereum Layer 1 fees to plummet in August and September.
According to data from Token Terminal, Ethereum Layer 1 network fees rebounded in November to the levels seen before the Dencun implementation at the beginning of 2024.
This upgrade has elicited mixed reactions from the Ethereum community; some praise the affordability of transactions through Layer 2, while others criticize how many L2 solutions are eating into Ethereum Layer 1's revenue.
Ethereum Layer 1 network fees from January to December 2024. Source: Token Terminal.
Cardano's Chang hard fork introduced on-chain governance.
Cardano's Chang hard fork was implemented on September 1, bringing on-chain, decentralized governance to the network.
This update enables all holders of Cardano's ADA token to participate in the voting process and determine the future direction of the Layer 1 chain.
Near Protocol achieves stateless validation through Nightshade 2.0.
Near Protocol is a Layer-1 blockchain focused on decentralized artificial intelligence, which changed its network architecture in August by implementing the Nightshade 2.0 update.
The protocol upgrade introduces stateless validation to Near, allowing validator nodes to validate transactions without storing a copy of the blockchain on their devices.
This approach reduces the hardware requirements for running validator nodes and lowers the entry barrier for new participants.
After the launch of Nightshade 2.0, the protocol's native asset NEAR surged by 50% within a month.
Near's sharding design. Source: NEARWEEK.
Movement mainnet launch.
On December 9, the Movement Network Foundation launched the Movement mainnet (an Ethereum scaling solution that settles transactions on the Ethereum network using the Move virtual machine) and the MOVE token.
According to a spokesperson for the foundation, the Move mainnet has sub-second finality times and utilizes the Move programming language.
The programming language has been widely praised by blockchain developers for its ease of use and expressiveness.
Chainlink launches cross-chain interoperability protocol.
The Oracle network Chainlink released its Cross-Chain Interoperability Protocol (CCIP) in April 2024.
CCIP facilitates cross-chain transfer of tokens and smart contract communication between different blockchain ecosystems.
Since the interoperability solution was first introduced, CCIP has been integrated by multiple blockchain networks, including the Layer 2 scaling solution ZKsync and the gaming blockchain network Ronin.
A simple explanation of Chainlink CCIP. Source: Chainlink.
Stacks completes the Nakamoto upgrade.
Stacks is a Layer 2 scaling solution for Bitcoin, completing the Nakamoto upgrade through a hard fork on October 9.
This upgrade introduces 100% Bitcoin finality and increases network throughput.
Following the update, block production is no longer determined by miner elections. Instead, blocks are now produced at fixed intervals.
In the weeks leading up to the protocol upgrade, the number of smart contracts on Stacks reached a historic high of 1,400 monthly contracts.
